Krishna (Software) 21 August 2018
I am a salaried person and have invested in some equity mutual funds under my wife's name (she is a housewife) and now we are planning to sell some of the funds. After selling the long-term gain will be around 200,000 (2 lacks). Who is liable to pay LTG tax is it me or my wife. That is, is that 2 Lacks LTG is considered as income of mine or my wife?
Varma(❤️Jesus❤️) (CA ) 21 August 2018
As per sec 64 where you provide money to your spouse and that money is invested by the spouse and a certain income is generated (from such money that you gave your spouse).The income that arises from such investment done by her can be clubbed to your income.