This discussion addresses a tax query regarding freelancing income earned through a joint bank account where the brother is the secondary holder and employed full-time. The primary account holder, who is freelancing, is seeking to understand who is liable for the tax on this income, as the funds are being credited to the brother's name. The brother wishes to avoid declaring this income on his own tax return due to potential changes in his tax slab.
Guest
Guest
(Querist)
07 January 2022
I have a query related to taxation.
I have opened a new joint bank account with my brother.
I am the primary holder and my brother is the secondary holder.
I'm currently not doing any full time job, my brother is doing it.
He is doing full time job in bangalore but also on his name I'm working as a freelancer(Recently started).
Since my brother(secondary holder) is working as a full time job he has been filing ITR for the past few years.
Now, the question raised by my brother is who should pay the taxes on the freelancing income?
Since I'm working as a freelancer using my brother name and the amount is getting credited on his name, can I file the ITR on my name?
I've heard that by default primary holder is liable to pay the taxes.
My brother doesn't want to include that income in his ITR because it might change his tax slab.
It would be very helpful if you could put some light on this.