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Clubbing income

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This query is : Resolved

sameer (Querist)

26 September 2015 can husband gift to wife in cash 15 or 20 lacs ,,,,,husband already manpower supply busniess and wife started new manpower supply business ....this transcation can taxable under clubbing income under income tax....what is income tax provision ...its taxable to husband..in this anther problem is husband stop there business and then wife start it with new business new name ...beause of that officer say wife invest husband cash in business and wife getting income may be which inculding husband income under clubbing sect it is prosible

Amol S Joglekar

Amol S Joglekar (Expert)

26 September 2015 Husband can gift in CASH to wife.

Gift is NOT taxable u/s56, as it is given to relative viz wife

If husband stops his business, then CLUBBING becomes REVENUE neutral. So it hardly makes any difference for income tax whether or not the clubbing provision is invoked.

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