Partner
21 Points
Posted on 28 May 2011
Yes you can claim, provided there should bea proper Lease Agreement and the payment should be evidenced through a bank transaction.
Wife income will be taxed (subject to the limits of the Income)
the assessing officer has the right to probe the transaction throughly and if found the transaction is malafide intentions of to avoid tax or, then tax authority can demand tax from you as per the slabs under which your income would fall + interest + penalty if any.
It is always Good to be Ethical.
Thanks
Sundaresh