My question is about my father in law and mother in law who are Persons of Indian Origin (PIO) and United States of America citizens who want to gift me 30,000 USD from their USA bank accounts to my Indian savings account. They do not have NRO or NRE accounts.

What are the tax implications to them and me? What is the best way to transfer money? Generally what are the percentages cut when transferring money from the USA to India?

1 Answer 1


As US tax residents, they can transfer 15,000 per year to you with out any taxation. In effect your MIL can give you 15000 and FIL 15000. They can give equal amount to your spouse as well.

From India tax, there is no tax applicable to you as this is a gift. As the amount is large, best have a gift deed created.

Funds can be directly credited to your indian bank savings account. Your FIL may need to visit bank and initiate international wire transfer.

There would be fees around 200 to 300 USD. This site doesn't recommend any banks.

  • The current exemption from gift tax in the US is $15,000 per year per recipient. Commented May 12, 2018 at 15:04
  • As far as I know, the $15,000 is the point where the parents would have to declare the gift. There is a lifetime allowance of several million dollars in tax free gifts, so even if they gifted that amount every year, they would have to declare it every year, but no taxes would be paid. That's one situation where US tax law is very generous compared to other countries.
    – gnasher729
    Commented Dec 28, 2019 at 10:20

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