I am Indian Resident, and would like to gift my daughter who is PIO as well as US Citizen now. Pl answer following queries :
- Will gift tax be applicable in such case to donor (per Indian law) and/or donee (as per US Laws) for my inherited portion of land sale if amount to be transferred is less than INR 90 Lakhs?
- Can i ask my NRI Buyer friend abroad to transfer this money on my behalf directly in USD? What are the relevant Tax implications for all 3 of us (ie. Seller, Buyer, Daughter)? Will this be treated as Gift or Capital Gains Income for my Daughter?
- Should either of the above two(2) transactions be classified as GIFT, or simply a MONEY TRANSFER? What are the Tax implications?
- If Gift, what are relevant applicable documents for proof of source of funds?
- Is Any further clarity required to answer above??