Q160. Money sent to parent in India not taxed

Question: I have been sending money to India into my Dad's account recently, regular to built a house for them .My concern is that money he receive often from me .Will it be class as his income and subject to TAX even though if he is not generating any income from it. All he is using it to pay the bill for the house that he is building. thanks Sk

Answer: Your parents need not worry about the money they receive being subjected to taxes as long as they can prove that it has been sent by their son through legal banking channels.