Can I lend money to a friend and charge interest in India?

Not many lenders are aware that If you are charging interest on loan amount then the interest income is taxable. The interest will be taxed as “income from other sources” as per tax slab of the lender. Therefore do your calculations before personal lending.

Can I give interest-free loan to my friend?

But any gift above Rs 50,000 from a friend (non-relative or anyone who falls outside the definition of ‘family’ under the Income Tax Act) during a financial year is taxable. However, if it’s a loan (with or without interest), it becomes tax-free. Interest-free loans are non-taxable for both lenders and borrowers.

How do I get my money back from a friend?

Here are the best ways to ask for money back:

1. Don’t get confrontational. Credit: TriStar Pictures.
2. Drop hints about needing money.
3. Highlight your own financial situation.
4. Ask for money back in writing.
5. Be flexible about receiving money back.
6. Add a sense of urgency.
7. Ask them to cover your half of the bill.
8. Ask their parents.

How do I get my money back from a friend who borrowed?

Tips on getting your money back

1. Give gentle Reminders. When approaching the topic of collecting the payments from your friend or relative, try to be firm, yet straightforward.
2. Express Urgency.
3. Ask for updates.
4. Add deadlines.
5. Offer Payment Installments.
6. Bartering.
7. Drinks on them!
8. Taking Legal Action.

Is money borrowed from a friend taxable?

In most cases, you won’t have to pay taxes for a “loan” the IRS deemed a gift. You only owe gift tax when your lifetime gifts to all individuals exceed the Lifetime Gift Tax Exclusion. For tax year 2017, that limit is $5.49 million. For most people, that means they’re safe.

How do I ask for a refund?

You’ll usually get a decision within 1 business day but it can take up to 4 business days.

1. On your computer, go to play.google.com/store/account.
2. Select Order History.
3. Find the order you want to return.
4. Select Request a refund or Report a problem and choose the option that describes your situation.