A proprietary business started by Smt Rani in 2006. As on 1.4.07 , capital of her business was Rs 300,000.Her husband gifted her Rs 200000 on 14.4.07;which Smt Rani invested in her business on the same date.For FY 2007-08,profits of the business was 150,000.Will the profits be clubbed to her husband. If yes how much.(Nov 2004 question)Plz answer for the prevalent laws applicable to PCC Nov09.
--> Is this contention correct. Sb told me that because of following reason; it wont be clubbed:"
Because for clubbing the profit of PROPRIETORSHIP BUSINESS, the capital invested by Smt Rani; must be invested in business on first day of PY ie 1.4.07 and here it is 14.4.07.
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