Gift Tax Calculator
Last Updated: 8 April 2026
What is Gift Tax Calculator India (Section 56)?
The Mathematical Formula
Taxable Gift = If (Sum of Non-Relative Gifts > ₹50,000) Then (Full Amount) Else (0)
📊 Practical Example
"If you receive a ₹60,000 cash gift from a friend on your birthday, the entire ₹60,000 is added to your taxable income. If received from your sister, it is 100% exempt."
⚠️ Common Mistake
Frequently Asked Questions
Q.Who is considered a 'Relative' for tax-free gifts?
The IT Act defines relatives as: Spouse, Brother or Sister (and their spouses), Brother or Sister of either parent, Lineal ascendants/descendants (Parents, Grandparents, Children), and Lineal ascendants/descendants of the spouse.
Q.Is gift tax applicable on wedding gifts?
No. Gifts received by an individual on the occasion of their marriage are 100% tax-exempt, regardless of the person giving the gift or the amount.
Q.Do I have to pay tax if I receive a gift through a Will?
No. Any property or money received under a will or by way of inheritance, or in contemplation of the death of the donor, is fully exempt from gift tax.
Q.Is there a limit on gifts from non-relatives?
Yes. You can receive up to an aggregate of ₹50,000 in a financial year from all non-relatives combined. If the total exceeds ₹50,001, the entire amount becomes taxable.