My wife had some savings thru agricultural income which was used during our marriage.
I am planning to pay back that money to her and she plans to keep that in FD.
Wrt interest earned from the FD, will clubbing provisions apply ?
I was reading about clubbing provision. It says it is applicable if -
You transfer an asset to a person or an association of persons, directly or indirectly, without adequate consideration
When I checked for the definition of "Adequate Consideration", this is what I found -
Adequate consideration refers to a price which is equal in value for an act or a thing for which it is given.
CAclubindia
