Most of the people are now manga online for everyday necessities. In such a situation, if you transfer money to your wife’s account every month, can she get a notice from the Income Tax Department? Can you take advantage of income tax deduction by treating this money given to your wife as gift money? Let us know the answers to some such questions…
New Delhi. On the one hand, the way of shopping of people has changed for a long time in the country, then there have been major changes in the payment options as well. Now people are giving preference to online shopping and digital payment. In such a situation, most people are transferring money every month to the wife’s bank account for household expenses. Now the question arises whether your wife can get Income Tax Notice by transferring money every month? At the same time, another big question is whether you can take advantage of tax deduction by treating this money as gift money.
Investment of money received from husband will be taxed
if you give money every month for household expenses or give money as a gift on Diwali, Dhanteras or any other special occasion, then wife But the responsibility of Income Tax is not made. Both these types of amount will be considered as the income of the husband. The wife will not have to pay any tax on this. If you understand in simple words, then the wife will not get any notice from the Income Tax Department for this amount.
However, if the wife invests this money repeatedly and gets income from it, then the income on the capital employed will become taxable. In other words, the income on investment will be calculated as the income of the wife on a year-to-year basis, on which she will have to pay tax.
Will not be paid in gift tax exemption
, according to the Income Tax Act (Income Tax Act), if you give money as a gift to separate his wife from their income is not legally wrong. However, you will not get the benefit of any tax exemption on this. If you give money to your wife as a gift other than income under the Income Tax Act, then it will be considered as your income. The tax liability on this will also be yours. Actually, spouses are covered in the category of relatives. In such a situation, no tax is levied on such gift transactions.
No need to file ITR
If the wife is investing some money from the husband’s monthly amount in mutual funds (MFs) through SIP, then she need not file Income Tax Return (ITR) on this money. Not only this, they will not even have to pay any tax on it. The income earned from the investment of this money will be added to the taxable income of the husband.
However, the wife will have to pay income tax on the income earned from reinvestment. It has to be kept in mind here that it is better to file ITR if there is income in any way.
