I want to gift income to my wife and take home loan

Tax planning 417 views 2 replies

harsh malpani

prop

64 Points Joined December 2011

my income is taxed in 30% slab. my wifes gross income is around 3 lacs basically from interest from the firm in which i am proprietor.i want to take a housing loan and take maximum section 80 c and housing loan intrest payment deduction in my wifes as well as my file.i want to gift share of my capital to her around rs. 30 to 35 lacs presently her capital being around 28 lacs making capital around 60 lacs give interst to her and make her income around 12 lacs and take deduction of rs. 1.5 lacs on principal repayment and 2 lacs hosing loan intrest payment and there by make full use of the slab. is this way possible. is there any other way out. please suggest me i will be thankfull

Replies (2)

Vishal Goel

Chartered Accountant

1693 Points Joined April 2014

Hello,

As per section 64(1)(iv), if an individual transfers (directly or indirectly) his/her asset to his or her spouse otherwise than for adequate consideration, then income from such asset will be clubbed with the income of the individual (i.e.,transferor).

In your case : if you transfer your capital to your wife as a gift, then income from such captial will be clubbed with your income.