Section 10 - Amendment of section 56. - Taxation Laws (Amendment) Act, 2006

Amendment of section 56. 10. In section 56 of the Income-tax Act, in sub-section (2),- (a) in clause (v),- (i) after the words, letters and figures after the 1st day of September, 2004 , the words, letters and figures but before the 1st day of April, 2006 shall be inserted with effect from the 1st day of April, 2006; (ii) in the proviso, after clause (d), the following clauses shall be inserted, namely:- (e) from any local authority as defined in the Explanation to clause (20) of section 10; or (f) from any fund or foundation or university or other educational institution or hospital or other medical institution or any trust or institution referred to in clause (23C) of section 10; or (g) from any trust or institution registered under section 12AA. ; (b) after clause (v) and the Explanation, the following shall be inserted with effect from the 1st day of April, 2007, namely:- (vi) where any sum of money, the aggregate value of which exceeds fifty thousand rupees, is received without consideration, by an individual or a Hindu undivided family, in any previous year from any person or persons on or after the 1st day of April, 2006, the whole of the aggregate value of such sum: Provided that this clause shall not apply to any sum of money received - (a) from any relative; or (b) on the occasion of the marriage of the individual; or (c) under a will or by way of inheritance; or (d) in contemplation of death of the payer; or (e) from any local authority as defined in the Explanation to clause (20) of section 10; or (f) from any fund or foundation or university or other educational institution or hospital or other medical institution or any trust or institution referred to in clause (23C) of section 10; or (g) from any trust or institution registered under section 12AA. Explanation - For the purposes of this clause, relative means - (i) spouse of the individual; (ii) brother or sister of the individual; (iii) brother or sister of the spouse of the individual; (iv) brother or sister of either of the parents of the individual; (v) any lineal ascendant or descendant of the individual; (vi) any lineal ascendant or descendant of the spouse of the individual; (vii) spouse of the person referred to in clause (ii) to (vi). .