transfer of benifit U\s 80c

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

12 February 2011
if a person regularly paid premium (his spouse or child) and claim for deduction
suddenly 1 year his income is below taxable and his spouse income is taxable than his spouse pay the premium on his account can his spouse avail the benefit of deduction. my doubt is can avilment of deduction is transferable for benefit.

K V Subba Rao

K V Subba Rao (Expert)
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12 February 2011 For tax planning purpose, under such circumstances, it is desirable to make payment using Bank Cheque of wife

If it is a joint account of both spouses, then also it is OK

If payment is made by cash, the action could be justified

If bank account is in the sole name of husband, there is scope for someone to question claim for Deduction

Querist : Anonymous

Querist : Anonymous (Querist)

12 February 2011 sir, Can you tell me the perfect grounds for the same any case laws any guideline for the relevant, kindly reply.

thank you.