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Mihir Tanna  | Answer  |Ask -

Tax Expert - Answered on Apr 14, 2023

Mihir Ashok Tanna, who works with a well-known chartered accountancy firm in Mumbai, has more than 15 years of experience in direct taxation.
He handles various kinds of matters related to direct tax such as PAN/ TAN application; compliance including ITR, TDS return filing; issuance/ filing of statutory forms like Form 15CB, Form 61A, etc; application u/s 10(46); application for condonation of delay; application for lower/ nil TDS certificate; transfer pricing and study report; advisory/ opinion on direct tax matters; handling various income-tax notices; compounding application on show cause for TDS default; verification of books for TDS/ TCS/ equalisation levy compliance; application for pending income-tax demand and refund; charitable trust taxation and compliance; income-tax scrutiny and CIT(A) for all types of taxpayers including individuals, firms, LLPs, corporates, trusts, non-resident individuals and companies.
He regularly represents clients before the income tax authorities including the commissioner of income tax (appeal).... more
Yam Question by Yam on Apr 14, 2023Hindi
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Dear Mihir Sir, I am a salaried person and file ITR every year. There was property in the name of my wife purchased in March 2018 and sold in August 2022 (FY 2022-23). The purchased value was Rs. 19,50,000 and the sale price being Rs. 32,50,000. Since she is a housewife and does not file any ITR. Sir I am to know that is she liable to pay any LTCG by filing an ITR this Assessment Year 2023-24 or any other way to show this income? Further, the gain on sale of this property has been totally used for my present house property (House- repair and renovation). Please guide me accordingly.

Ans: As per income tax provisions, any income arising from asset transferred to wife without consideration will be clubbed in the hands of husband.

Accordingly, if property is purchased in the name of wife and wife has not contributed anything from own source at the time of acquisition then clubbing provisions is likely to applicable at the time of transfer of such property. Capital gain will be taxable in the hands of husband.
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