My daughter is a business woman currently. She started consultation and business from 18 years. Also before she turned 18 she had collected around 2.5 lakhs as pocket money from her relatives, and grandparents. She is currently 28 and when she was 26, she had 28 lakhs (6 lakhs received as gift from grand father, 2 lakhs received as gift from people on her wedding day and rest is money earned) with her, part of which she had put in the bank and withdrawn for some expenses, remaining kept it as cash at home.
On no previous year did her income go above the non taxable income bracket. From last 2 years she started filing income tax. Now she is investing this money which she had saved from childhood to build her business, a private limited company. Is any tax violation involved here. The gift is not documented, just given as cash.