If the conditions given in preceding FAQ are satisfied then sum of money received without consideration (i.e., monetary gift) by an individual or HUF will be charged to tax. However, in the following cases monetary gift will not be charged to tax.
Money received from relatives.
Money received by a HUF from its members.
Money received on the occasion of the marriage of the individual.
Money received under will/ by way of inheritance.
Money received in contemplation of death of the payer or donor.
Money received from a local authority as defined under section 10(20) of the Income-tax Act.
Money received from any fund, foundation, university, other educational institution, hospital or other medical institution, any trust or institution referred to in Section 10(23C).
Money received from a trust or institution registered under section 12AA.
Gift received from relatives are exempt from tax. Who will be considered as relative for the purpose of claiming such exemption. section 12AA.