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My husband credits Rs 30,000 in my account which I invest in mutual funds. Do I need to file ITR?

If you reinvest the earnings from your investment and earn further income, then such income will not be clubbed with the husband’s taxable income.

ET CONTRIBUTORS|
Jun 17, 2019, 10.51 AM IST
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The income that you earn by investing money in MFs will be clubbed with your husband’s taxable income.
I am a homemaker and my husband credits Rs 30,000 to my account every month. I invest this in mutual funds via SIPs. Do I need to file income tax return? Will there be any tax liability?
Archit Gupta CEO, ClearTax replies: You are not required to file income tax return or pay tax on the money you receive from your spouse. The income that you earn by investing this money will be clubbed with your husband’s taxable income. However, if you reinvest the earnings (capital gains) from your investment and earn further income, then such income will not be clubbed with the husband’s taxable income and will be taxed in your hands.

I have earned about Rs 5 lakh from gambling. How much tax do I have to pay on this? Is there a way to minimise the tax?
Amit Maheshwari, Partner, Ashok Maheshwary and Associates
replies: Income from gambling is taxable under the head ‘income from other sources’. According to the Section 115BB of the Income-Tax Act, such income is taxable at 30% plus applicable surcharge, and 4% health and education cess (on tax and surcharge). No deduction is available for such income and hence the tax liability on this income cannot be minimised.

I bought a house in 2012 and plan to sell it now. I purchased another flat in 2017, which is under construction. If I repay the loan taken for this flat through the money I will get from the sale of my house, will I be able to save capital gains tax?
Amit Maheshwari Partner, Ashok Maheshwary and Associates
replies: A taxpayer can claim exemption on long-term capital gains (LTCG) from the sale of a house, if the new house is purchased either one year before the sale of the house or two years after the sale of the house, or if a house is constructed in India within three years from the date of sale. The house that you have purchased is under construction and, if its construction is completed within three years of the sale of the house you own, you may be allowed exemption on LTCG tax.

The beginning of the construction of the new house before the sale of the old house is immaterial and this view has been supported by multiple rulings. However, there is an alternative view that the exemption in such case will not be allowed and the income tax authorities may deny the exemption.
(Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of www.economictimes.com.)

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