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Gifting of Immovable Propert

Mohit Agrawal (AUDIT MANAGER) (109 Points)

25 January 2021

I am highly salaried employee. I want to transfer my rented property to my wife without any consideration by way of Gift deed and proper registry. Rental income is 400000 yearly.
Can I save tax on my rental income by way of such transfer ?
or there is any other alternate available ?

Please suggest.

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6 Replies

Ajay Singhal (6 Points)
Replied 25 January 2021

Yes, u can gift her immovable property bt make sure she has not more than two house property in her name otherwise she has to show notional rent on 3rd house property

Mohit Agrawal (AUDIT MANAGER) (109 Points)
Replied 25 January 2021

It means clubbing provisions will not applicable in this case ?

1 Like

CA. Sourav Sarkar (Chartered Accountant ) (24588 Points)
Replied 25 January 2021

Clubbing provisions will apply in this case

1 Like

Ajay Singhal (6 Points)
Replied 25 January 2021

If the transfer is made to other relation such as parents, major son, major daughter or grandchildren etc. then it will not cover under the clubbing provision even if the transfer of asset is without consideration, u can't do that ??