clubbing provision


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Querist : Anonymous

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Querist : Anonymous (Querist)
17 October 2011 if mr. a gifts to his wife rs 100000 in cash . and his wife invest the same . she rec. rs. 5000 on investment .
here clubbing provision will apply or not
ur answer will different if he gifts this amount to his mother or father

17 October 2011 Yes clubbing provision will apply and Rs.5000 will be taxable in hands of Mr. A as per Sec 64(1)(iv)

clubbing provisions will not apply if payment is to mother or father

17 October 2011 any income/interst received from investment(club amount) then clubbing provision will apply.

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Querist : Anonymous

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Querist : Anonymous (Querist)
17 October 2011 and that gift of rs 100000 is taxfree in the hands of Mr.A's wife

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Querist : Anonymous

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Querist : Anonymous (Querist)
18 October 2011 and that gift of Rs. 100000 is taxfree in the hands of Mr.A's wife because of gift provision


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