madhur gupta (student/article ) (1022 Points)
12 July 2009hello friendz
plz someone explain me sec 33 of wealth tax act 1957
i have read this sec.n also understood but i m in doubt that i m misinterpreting it
i thinks it says that although asset transfer to wife etc.i.e for inadeqate cons.wala case
in this although asset will be clubbed in wealth of husband but tax liab will be of wife only
plz correct me if i m wrong.......
saurabh
(CA)
(552 Points)
Replied 13 July 2009
section 33 WT Act, 1957 --- Liability of transferees of properties in certain cases.
Where by reason of the provisions contained in section 4, the value of any assets transferred to any of the persons mentioned in that section have to be included in the net wealth of an individual, the person in whose name such assets stand shall,
notwithstanding anything contained in any law to the contrary, be liable, on the service of a notice of demand by the Wealth-tax Officer in this behalf, to pay that portion of the tax assessed on the assessee as is attributable to the value of the asset standing in his name as aforesaid.
In ur example, husband will be liable for paying wealth tax as the asset will be clubbed in his wealth, but tax can be recovered from the wife as well if the husband defaults. This acts as a remedy to the Revenue Deptt.
madhur gupta
(student/article )
(1022 Points)
Replied 13 July 2009
thankx
it means primary liab.will be of husband n if he defaults then wife can be asked to pay tax on her portion of asset trnsfrd only...........
CAclubindia
