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Clubbing provision U/S64(1A)

Joydeep Mukherjee (Articled Assistant) (28 Points)

22 January 2010

After claiming exemption of Rs.1500 per child U/S 64(1A), if the assessee can claim TDS amount from tax payable as receivable from the income of minor child?

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11 Replies

CA AYUSH AGRAWAL (Kolkata-Pune-Mumbai) (26986 Points)
Replied 22 January 2010

Yes, Same As Assessee Paying Tax on Minor Income & If Any TDS is Deducted on That Minor Income , The Same TDS Credit Can Be Taken By Assessee From Tax payable.

Bimal Thacker (Proprietor) (762 Points)
Replied 22 January 2010

Dear friend

To claim credit of Tax deducted on minor income you should file a declaration with the deductor ( The declaration should contain the name, address, PAN of the person to whom credit is to be given and reason for giving credit to such person)

Plese see section 198 and 199

CA Amit Kumar (C.A., CWA Final) (251 Points)
Replied 22 January 2010

if any TDS has been deducted from income accrued to the minor A.O. will gives credit for such TDS to the parents in whose income the minor childs income has been clubbed, refun d of TDS may also be granted to such parents U/S 238(1)

Sunil (Trader) (2611 Points)
Replied 22 January 2010

While furnishing PAN to deductor for income of the minor child that has to be clubbed under Section 64 with parent always furnish the PAN of the parent in whose hands the income is taxed so that TDS is deposited in that PAN Number.

However, whenever you have to furnish PAN for income taxable in minor's hand for his own talent (child artiste, sports professional, game show / crossword participations or any contest in which child has himself taken part), it is better you furnish the child's own PAN Number to get tax credit while filing returns, especially as child artiste or sportsment where TDS will be less than 20%. For game shows and childs participations in contests, it will not make much difference as 30% will be deducted.

RADHIKA JALAN (agarwal) (1521 Points)
Replied 22 January 2010

thanx 4 sharing it.....................

Shudhanshu Agrawal (Business) (2570 Points)
Replied 22 January 2010

Originally posted by : Sunil
	While furnishing PAN to deductor for income of the minor child that has to be clubbed under Section 64 with parent always furnish the PAN of the parent in whose hands the income is taxed so that TDS is deposited in that PAN Number. However, whenever you have to furnish PAN for income taxable in minor's hand for his own talent (child artiste, sports professional, game show / crossword participations or any contest in which child has himself taken part), it is better you furnish the child's own PAN Number to get tax credit while filing returns, especially as child artiste or sportsment where TDS will be less than 20%. For game shows and childs participations in contests, it will not make much difference as 30% will be deducted.

As rightly said by Mr. Sunil, if you want to take the credit of TDS deducted on minor's income. Please mention the PAN no of the parent of that child so that there will be deposition of TDS against his PAN. But if the deposition is not against the PAN then how can you take the credit as TDS has not been deposited against the PAN.

manish (Article Assitant) (358 Points)
Replied 23 January 2010

Rs. 1,500 is the exemption limit for the minor child like as major individual assessee exemption limit Rs.1,50,000. So if the assessee clubing the income of minor child and take exemption upto 1500 then he has the right to claim deduction for the tds which was deducted on the income earned by the minor.

tds deducted for the reason that govt keeps the safety of revenue. and tds is deducted on the income so If the income is clubbing of minor with the father income then father has the right to claim the tds also.

Ridhdhi (Article ) (24 Points)
Replied 04 February 2011

In case mother & father's income is same, then in whose income the income of minor is to be clubbed?

Dheeraj (Learner) (1100 Points)
Replied 04 February 2011

Originally posted by : AYUSH AGRAWAL
	Yes, Same As Assessee Paying Tax on Minor Income & If Any TDS is Deducted on That Minor Income , The Same TDS Credit Can Be Taken By Assessee From Tax payable.

Rekha (Chartered Accountant) (24 Points)
Replied 22 June 2013

Can the TDS deducted on Income of minor be utilised by the Parent (in whose Computation Minor's Income is clubbed) for payment of Tax Liability on Income earned by such parent?

Sunil (Trader) (2611 Points)
Replied 29 June 2013

Rekha, yes. But before deduction you ensure with deductor that PAN of parent who is claiming deduction is properly matched so that 10% is deducted instead of 20%.