15 April 2023
Raj transferred 60,000 to a trust, the income accruing from its investment as interest amount to 9,000, out of which 6,000 shall be utilized for the benefit of his son’s wife and 3,000 for the benefits of his son’s minor child. taxability for raj?
16 April 2023
As per the section 61 of the Income Tax Act if any person Transferring asset on the condition that it can be revoked, Any income from such asset will be clubbed in the hands of the transferor. So in the above case the Interest amount of INR 9,000/- earned from the INR60,000/- will be clubbed in the Income of the Raj.
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