Income tax of housewife
This query is : Resolved
19 March 2024
Hi
If a housewife saves money from household expenses is that saving taxable? How much of the savings can be deposited in the savings account in a financial year without attracting tax. Note housewife has no income source only savings from household expenses upto 30000 a month.
If a housewife saves money from household expenses is that saving taxable? How much of the savings can be deposited in the savings account in a financial year without attracting tax. Note housewife has no income source only savings from household expenses upto 30000 a month.
19 March 2024
Can you please clarify in that case how much money from her savings can she deposit in the savings bank account. Is there a limit per financial year? Can 5 lakhs be deposited from house hold savings without attracting income tax
20 March 2024
For deposit money in bank account it's not taxable. In case earn interest from the deposit then its Taxable. it's also have some relaxation. 5lakhs also not taxable income even if its Your income.
15 August 2025
1. Tax Liability:
A housewife with no independent income is not liable to tax. She must file ITR only if her own income (from interest, rent, capital gains, freelance work, etc.) exceeds the basic exemption limit—₹3 lakh (new regime, below age 60), ₹5 lakh (80+ years).
Tax2Win
2. Income Sources & ITR Applicability:
Interest, dividends, etc. → ITR-1 or ITR-2
Rental income → ITR-2
Capital gains or business income → ITR-2 / ITR-3 (if applicable)
charteredhelp.com
Tax2Win
3. Gifts & Clubbing Provisions:
Gifts from husband or specified relatives are tax-exempt in her hands, regardless of amount.
Tax2Win
The Economic Times
But if investments generate income, that income is clubbed with the husband’s income under SA 64. The clubbing applies again even on reinvested earnings.
mint
4. When Does She File ITR?
If her independent income exceeds threshold—file based on sources and ITR form applicability.
If income stays under limit, filing is optional but recommended for credit record, refunds, etc.
Tax2Win
5. Key Planning Tips:
Use gift deeds or bank entries for transparency in the event of scrutiny.
Evaluate whether income generation in her name makes sense, or whether clubbing raises tax inefficiencies.
Even if not required, file ITR to maintain compliance history and support future formalities like loans or visas.
A housewife with no independent income is not liable to tax. She must file ITR only if her own income (from interest, rent, capital gains, freelance work, etc.) exceeds the basic exemption limit—₹3 lakh (new regime, below age 60), ₹5 lakh (80+ years).
Tax2Win
2. Income Sources & ITR Applicability:
Interest, dividends, etc. → ITR-1 or ITR-2
Rental income → ITR-2
Capital gains or business income → ITR-2 / ITR-3 (if applicable)
charteredhelp.com
Tax2Win
3. Gifts & Clubbing Provisions:
Gifts from husband or specified relatives are tax-exempt in her hands, regardless of amount.
Tax2Win
The Economic Times
But if investments generate income, that income is clubbed with the husband’s income under SA 64. The clubbing applies again even on reinvested earnings.
mint
4. When Does She File ITR?
If her independent income exceeds threshold—file based on sources and ITR form applicability.
If income stays under limit, filing is optional but recommended for credit record, refunds, etc.
Tax2Win
5. Key Planning Tips:
Use gift deeds or bank entries for transparency in the event of scrutiny.
Evaluate whether income generation in her name makes sense, or whether clubbing raises tax inefficiencies.
Even if not required, file ITR to maintain compliance history and support future formalities like loans or visas.
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