: Tax liability for Resident indians through funds received from NRE account Please, I would like to transfer a bulk amount from my NRE account to my parents account, For Taxation purposes,Do they need to pay only for interest

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You can transfer unlimited amount from your NRE account to your parents account. From Indian tax point of view, this would be treated as gift. There is no tax implication in India for you or your parents.

Any further income generated by this will be taxable to your parents.

You have not mentioned your tax residence. In some jurisdiction, for example US this would be taxable to you, if you transfer more than X dollars as gift