Securing Hannav Ledger...
Securing Hannav Ledger...
Glossary
Clubbing of income is a tax rule that adds certain income earned by a spouse, minor child, or specific relatives back to the taxpayer’s own income to prevent tax avoidance.
Some income you shift to family members still gets taxed in your hands under specific rules.
Common triggers include gifts to a spouse invested for income, or a minor child’s income (with a ₹1,500/child exemption); does not apply to a minor’s own skill-based earnings.
Interest earned on a fixed deposit gifted to a non-earning spouse is clubbed with the giver’s taxable income.
Some income you shift to family members still gets taxed in your hands under specific rules.
Clubbing of Income helps you evaluate products, compare options, and make informed decisions aligned with goals, tax rules, and risk tolerance in the Indian financial system.