How much tax you have to pay on Diwali bonus?:All you need to know about India’s taxation rules on gifts, vouchers others

The tax on gifts received during Diwali depends on who gave them and in what form. The rules vary for cash bonuses, non-cash gifts, and presents received from relatives. Bonus from Employers Any cash bonus received through cash, cheque, or a direct bank transfer is treated as part of your salary, according to CA Chandni Anandan, Tax Expert at ClearTax. The full bonus amount will be taxed according to your applicable income tax slab. Company Gifts Non-cash gifts or vouchers are tax-exempt if their total value is less than ₹15,000 in Financial Year 2026–27 (FY27). However, if the total annual value reaches or exceeds ₹15,000, the amount will be added to your taxable salary. Sudhir Kaushik, CEO of TaxSpanner, advises taxpayers to track gift values for the entire year, rather than looking at Diwali gifts in isolation. Gifts from Relatives Gifts received from relatives specified under tax laws—such as parents, spouse, siblings, and parents-in-law—are completely tax-free, regardless of the amount. Gifts from Friends and Non-Relatives Cash gifts received from non-relatives are tax-free up to ₹50,000 in a financial year. If the total cash gifts from non-relatives exceed ₹50,000, the entire amount becomes taxable. Specific valuation rules apply to non-cash items such as jewellery, shares, and real estate. Maintain Records: Taxpayers should safely retain bank transaction statements, gift documents, and proof of relationships. All taxable gifts must be disclosed while filing income tax returns.