What is Clubbing of Income?
Clubbing of Income — A rule where income from assets gifted to a spouse or minor child is taxed in the giver’s hands, to prevent tax avoidance.
In simple terms
Investing in a spouse’s name can trigger clubbing of income.
Why Clubbing of Income matters when you invest
Understanding clubbing of income helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Clubbing of Income — frequently asked questions
What is Clubbing of Income?
A rule where income from assets gifted to a spouse or minor child is taxed in the giver’s hands, to prevent tax avoidance.
What does Clubbing of Income mean in the stock market?
A rule where income from assets gifted to a spouse or minor child is taxed in the giver’s hands, to prevent tax avoidance. Investing in a spouse’s name can trigger clubbing of income.
Can you give an example of Clubbing of Income?
Investing in a spouse’s name can trigger clubbing of income.
Put it into practice — open a free account.
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