Hi,
I am planning to buy property in my wife's name. I have two options:
1) Give a gift to my wife: She uses the money gifted by me and buy the property . In this case, any income generated from the property will be clubbed with my income. Is this correct ?
2) Give an Unsecured Loan: She uses the money LOANED by me and buy the property. In this case, any income generated from the property will NOT be clubbed with my income. This will be treated as her Income. Is this correct ? Is this a legal transaction ?
3) Is there any other option apart from the unsecured loan option mentioned above that will shift the tax liabilty on her ?
CAclubindia
