income division

This query is : Resolved

arvind kapoor (Querist)
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09 September 2008 Dear Sir,
One of my client is receiving property rent around 18 lacs p.a. And he wants to divide the income between him & his spouse and also to divide the taxation between each other as the property was purchased by using the funds belonging to both of them.
But the property is registered in the name of one person only and the division of property between them will require a lot of registration expenses which he wants to save.
Sir, what will be the best way to solve it

Taxguy

Taxguy (Expert)
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09 September 2008 I think after the aboliton iof gift tax act, you can register a gift deed between husband and wife for as little as 2000/- in Karnataka, check with your state registration. Even a release deed can done where you can release her share of 50%.