Can i i invest in fd of major child

Dear Ram,

You may be giving over some money to your major child (who may not be earning), in this case if the major child invests that money – any income from these investments will not be taxable in your hands but will be taxed in the hands of the major child. So therefore, there will be no clubbing of income in case of a major child.

Gift by way of cheque or cash is not required to be executed through a gift deed. A gift deed is a document which transfers the legal title of the property to the donee where the consideration is not monetary but is made in return for love and affection.

As you have already mentioned that your children are major, in this situation clubbing provision not apply.

Agree with Hayedar

Thanks Hayeder and Vishal for your response