Clubbing of income u/s 64

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Querist : Anonymous

Querist : Anonymous (Querist)

15 October 2011
plz tell me if wife and husband both have the substantially interest in a company ( 10% wife & 10% husband )and both rec. the remuneration from co.and they have no any other income.what will happen in this case

CA RICHA BADALIA

CA RICHA BADALIA (Expert)
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15 October 2011 If both of them receive remuneration it will be clubbed in the hands of spouse whose total income is higher(excluding this income).

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Querist : Anonymous

Querist : Anonymous (Querist)

15 October 2011 but they have no any other income except this income

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CA RICHA BADALIA

CA RICHA BADALIA (Expert)
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15 October 2011 Okay this is an exceptional case.According to me in this case it will be taxable in their individual hands.

Others views are invited

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Querist : Anonymous

Querist : Anonymous (Querist)

15 October 2011 according to u clubbing provision will not apply

Querist : Anonymous

Querist : Anonymous (Querist)

15 October 2011 In the following year both rec. the same remuneration and having the same substantially interest but the wife income is higher then income earned by the husband. clubbing provision will apply or not