Make overdraft limit on Fd which is made by gifted m money
This query is : Resolved
04 April 2021
I want to fullfill my financial requirment for my business to make a overdraft limit on a FD this FD amount money is come from as a gifted money; which come from my father mother and from spouse, in this FD 90% share is of above relatives and 10 % share is mine ; what kind of complications in this kind of transaction ?
Kindly suggest me what to do who pay interest on overdraft limit and who take interest on FD ?
I am confused; please guide me .
Kindly suggest me what to do who pay interest on overdraft limit and who take interest on FD ?
I am confused; please guide me .
04 April 2021
You have to pay interest on over draft limit as it's used for your business. You can take interest on FD as the money is gifted to you. But on the interst on FD portion of money gifted by spouse clubbing provisions applicable.
04 April 2021
Income earned on gifted amount will be clubbed with the income of the spouse.
05 April 2021
If I make 10000 thousand fd on spouse gifted money portion and then take overdraft on it then who pay interest and who take interest ?
05 April 2021
You pay interest on such over draft and take interest on Such FD. But the interst on FD is taxable in the hands of spouse.
05 April 2021
I pay incometax on fd interest they why my spouse also pay income tax on interest I am taking the responsibility to pay incometax on fd amount, government need tax which is paid by me is their any issue
05 April 2021
In your case it's okay you pay income tax but in many cases spouse who received the gift don't have taxable income that's why government introduced clubbing provisions.
Exclude the amount from your taxable income.
Exclude the amount from your taxable income.
05 April 2021
Now sir in my case if I pay incometax on fd interest amount then their is no need to pay incometax from my spouse .
05 April 2021
No, clubbing provisions applicable such income is also taxable in hands of spouse. So exclude such income from your tax calculation.
05 April 2021
You are welcome..............
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