Category Archives: clubbing of income

Section 64 (1A): Income Of Minor Child

Exemption of Rs. 1,500/- for Income of each minor child u/s 10 (32), of Income Tax Act, 1961− (adsbygoogle = window.adsbygoogle || []).push({}); As per S. 10(32), in case the income of an individual includes the income of his minor child in terms of S. 64(1A), such individual shall be entitled to exemption of Rs. 1,500… Read More »

Section 64(1)(viii): Clubbing of income from asset transferred to any person for the benefit of the son’s wife

Income from assets transferred to a person for the benefit of son’s wife attract the provisions of S. 64(1)(viii) on clubbing of income, if- The taxpayer is an individual. He/she has transferred an asset after May 31, 1973. The asset is transferred to any person or an association of persons. The asset is transferred for the… Read More »

Section 64(1)(vii): Clubbing of income from asset transferred to any person for the benefit of the spouse

Income from assets transferred to a person for the benefit of spouse attract the provisions of S. 64(1)(vii) on clubbing of income, if- The taxpayer is an individual. He/she has transferred an asset to a person or an association of persons. Asset is transferred for the benefit of spouse. The transfer of asset is without adequate… Read More »

Section 64(1)(iv): Clubbing of income from asset transferred to spouse

Income from assets transferred to spouse becomes taxable under provisions of S. 64(1)(iv) as per following conditions:- The taxpayer is an individual He/she has transferred an asset (other than a house property) The asset is transferred to his/her spouse The asset is transferred without adequate consideration. Moreover there is no   agreement to live apart. If the… Read More »

Section 64(1)(ii): Income Tax Treatment of Remuneration from Concern in Which Spouse Has Substantial Interest

Concern could be any form of business or professional concern. It could be a sole proprietor, partnership, company, etc. An individual is deemed to have substantial interest, if he /she (individually or along with his relatives) beneficially holds equity shares carrying not less than 20 per cent voting power in the case of a company or… Read More »

Section 63: Revocable transfer

‘Revocable transfer’ means the transferor of asset assumes a right to re-acquire asset or income from such an asset, either whole or in parts at any time in future, during the lifetime of transferee. It also includes a transfer which gives a right to re-assume power of the income from asset or asset during the… Read More »