Asked by: Stacy Washington
Will the money you send be taxable for your parents? It is perfectly legal to send money to your parents in India and they will not incur any tax on the transferred amount. However, if they invest this money, then the income they receive will be taxable in their hands.
How much money can my parents give me tax free?
In 2021, you can give up to $15,000 to someone in a year and generally not have to deal with the IRS about it. In 2022, this increases to $16,000. If you give more than $15,000 in cash or assets (for example, stocks, land, a new car) in a year to any one person, you need to file a gift tax return.