Clubbing provision u/s 64(1)(iv)

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This query is : Resolved

ullas vijayvargeeya (Querist)

03 June 2014 Respected Experts,
My Query is in relation to clubbing of income :-

1.0 IF one person is covered in the ambit of section section 27(i)i.e. deemed ownership case or if covered in section 64(1)(iv) that means he transferred the asset otherwise than for adequate consideration but some consideration is there
when the clubbing provision will attract whether income arise should be apportioned /proportioned

Example:- Mr.ram sold a plot to his wife for rs 200000.00 on the other hand he sold two other piece of land at same location for rs 26 lakh each that means he sold the asset to his wife for inadequate consideration ,covered u/s 64(1)(iv) at the time when his wife sold that property for rs 26 lakh

so my query is on how much amount mr.ram would be taxed.
whether on 26 lakh or after deducting 2 lakh

Amol S Joglekar

Amol S Joglekar (Expert)

03 June 2014 income in the said transaction of 26 lakh shall be clubbed in the hands of Ram......Say full value of consideration..less cost of acquisition....exemption, if any....the net income shall be clubbed

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