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Joint bank account

Ibrahim (Assistant Manager) (83 Points)

27 August 2016

I had a joint bank account with my grandma i as a primary holder deposit some amount on monthly basis and my grandma too deposit roughly 5000 per month to invest in mutual fund in her name. Would the deposit of her would be treated as my deposit in the eyes of income tax and whether i need to declare this source of funda

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3 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (160322 Points)
Replied 27 August 2016

Yes, you can show it as loan or gift from your Grandma, & need not worry for the small amount.

Ibrahim (Assistant Manager) (83 Points)
Replied 01 September 2016

Thanks for the reply..I had one more question please, during 2014 my grandma sold gold jewellery worth 150000 for cash (no proof or any sort of sales bill is available in this regards) and she deposit this cash in the said joint account where i am the primary holder and my grandma is second holder.The very next day i invest Rs.110000 in mutual fund in her name and remaining 40000 in my name (both different folios) but through the same savings account.So how can i treat this Rs. 150000 can the full amount be shown as gift to me from my grandmother but the question is i reinvested this money in her name in mutual fund (110000) or only 40000 which is invest in my name can be shown as the gift then what about the 110000 how it would be treated in income tax.