Hello,
Me and my wife are both Non resident Indians living in the US and file taxes here. We do not have any income in india other than very nominal interest income on money in Indian bank deposits which is below Indian tax limits. My wife gifted 5 lakh rupees of money, approx $10000 in 2008 to me which I used to pay off a loan for property purchased in india. She had received the 5 lakhs as gift from her parents. Please advise how would it affect from the Indian and US taxation angle. The money transactions were all done from our accounts in india. We have alrealy filed FBAR's.
Thanks