There is also an amount which was sent around 2011, which was invested in a construction project started by BIL's brother. The project never took off, and BIL's brother paid Y lakhs in 2014 (initial sum with some interest) When he paid it, my BIL asked for it and my husband gave it to him.
There is a third sum sent in 2011 for another apartment construction project by BIL's friend. After BIL's friend gave up, BIL's brother took on the project and the apartment is now ready to be sold at an estimated Z lakhs (though the construction by BIL's friend is supposedly cheap and due to some other issues, it is not selling fast)
The X lakhs and initial sum for Y and Z lakhs was sent to my husband's bank account (a joint bank account in my husband and my FIL's name)
There is no real documentation that the money was given to BIL/BIL's brother/friend as the money was mostly withdrawn as cash by my FIL and given to BIL.
The X+Y+Z exceed one crore. I have insisted to my husband that the money should be deposited in the same bank account and he seems okay with it now.
I have no idea when any of this will be deposited, but just wanted to know about any legal issues that might come up.
But wondering if there will be any IT problems? Obviously the tax was paid here on the (X lakhs and initial sum for Y and Z lakhs) before remitting to India - but what about interest earned for Y and profit earned on Z in India? This is actually not much, so no problems in paying tax on it in India… but how will govt know how much to tax on?
Clearly, I have no clue about this. Any inputs? (I don't know if this belongs in money matters?)
Repayment question
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