Greetings from Ssk Advisory. We are happy to resolve your query.
At the onset, please be informed that you do not have any employer - employee relationship with the client of the company in which you are a Manager. Since there is no employer-employee relationship, the value of the gift is not a perquisite and hence it is not chargeable to tax under the heads "Salaries".
Additionally, car is a personal effect and does not fall in the term "property" as provided in Section 52(2)(x). Thus, the provisions of income from other sources are also not applicable in this case. Property for the purpose of Section 56(2)(x) immovable property, shares and securities, jewelry, archaeological collections, drawings, paintings, sculptures and any other work or art of bullion.
Hence, if you have received a gift in form of a car from a client of company in which you are manager, it is not taxable at all. Hope we have been able to solve your query. Please comment below in case of any other queries or questions.
I am a Manager in a Private Limited Company. One of the client of company has gifted me a car. The value of car is Rs. 10,00,000. Is the value of car received by me taxable as salary or income from other sources ?
Greetings from Ssk Advisory. We are happy to resolve your query.
At the onset if you are gifting anything to your son or daughter it is not taxable under Section 56(2)(x) as they fall under the term "relative". Refer to this link to understand who else also falls under the the "relative" for these purposes. https://www.sskadvisory.com/forum/main/comment/6285b7b7d569370017f049c7
Moreover, car is a personal effect and transfer of the same is not taxable under Section 56(2)(x). Property for the purpose of Section 56(2)(x) immovable property, shares and securities, jewelry, archaeological collections, drawings, paintings, sculptures and any other work or art of bullion.
So, you can gift a car to your son or daughter tax-free. Hope we have been able to solve your query. Please comment below in case of any other queries or questions.
Greetings from Ssk Advisory. We are happy to resolve your query.
At the onset, please be informed that you do not have any employer - employee relationship with the client of the company in which you are a Manager. Since there is no employer-employee relationship, the value of the gift is not a perquisite and hence it is not chargeable to tax under the heads "Salaries".
Additionally, car is a personal effect and does not fall in the term "property" as provided in Section 52(2)(x). Thus, the provisions of income from other sources are also not applicable in this case. Property for the purpose of Section 56(2)(x) immovable property, shares and securities, jewelry, archaeological collections, drawings, paintings, sculptures and any other work or art of bullion.
Hence, if you have received a gift in form of a car from a client of company in which you are manager, it is not taxable at all. Hope we have been able to solve your query. Please comment below in case of any other queries or questions.
I am a Manager in a Private Limited Company. One of the client of company has gifted me a car. The value of car is Rs. 10,00,000. Is the value of car received by me taxable as salary or income from other sources ?
Greetings from Ssk Advisory. We are happy to resolve your query.
At the onset if you are gifting anything to your son or daughter it is not taxable under Section 56(2)(x) as they fall under the term "relative". Refer to this link to understand who else also falls under the the "relative" for these purposes. https://www.sskadvisory.com/forum/main/comment/6285b7b7d569370017f049c7
Moreover, car is a personal effect and transfer of the same is not taxable under Section 56(2)(x). Property for the purpose of Section 56(2)(x) immovable property, shares and securities, jewelry, archaeological collections, drawings, paintings, sculptures and any other work or art of bullion.
So, you can gift a car to your son or daughter tax-free. Hope we have been able to solve your query. Please comment below in case of any other queries or questions.