Tax Laws related to Gifts Gifts can mean taxes for the receiver as well as the giver .Iif you know laws related to gifts given or received you can avoid taxes or minimize their impact. I. Some gifts do not attract any taxes for the receiver. These gifts include Gifts from a relative. Relatives include Spouse of the individual; Brother or sister of the individual; Brother or sister of the spouse of the individual; Brother or sister of either of the parents of the individual; Any lineal ascendant or descendant of an individual; Any lineal ascendant/descendant of spouse of the individual Gifts received the occasion of the marriage of the individual, or Gifts received under a will or by way of inheritance, Gifts received in contemplation of death of the payer. The Problem of Clubbing of Income Although the gift itself is tax free, in some cases it could attract clubbing of income. Income and wealth from gifts given to minor children, the spouse