Maneka Gandhi seeks changes in I-T Act, says assets gifted to wives must not be taxed

Women and Child Development Minister Maneka Gandhi has asked Finance Minister Piyush Goyal to suitably amend the Income-tax Act so that assets gifted to wives and daughters-in-law were not taxed.

Press Trust of India July 10, 2018 19:07:04 IST
Maneka Gandhi seeks changes in I-T Act, says assets gifted to wives must not be taxed

New Delhi: Women and Child Development minister Maneka Gandhi has asked finance minister Piyush Goyal to suitably amend the Income-tax Act so that assets gifted to wives and daughters-in-law were not taxed. She has asked for the amendment of Section 64 of the legislation, according to which if a man gifts an asset to his wife and the asset results in some income to the wife, the income will be added to the taxable income of the man.

Maneka Gandhi seeks changes in IT Act says assets gifted to wives must not be taxed

File image of Union Cabinet Minister for Women & Child Development, Maneka Gandhi. AFP

Gandhi said that due to the provision, husbands and fathers-in-law are apprehensive to transfer assets to women in their families because they fear that income accruing from the asset will ultimately become a burden on them.

The provision to tax the gifted assets was originally formulated in 1960s under the assumption that wives and daughters-in-law would normally not have any independent taxable income. "However, today with women leaving an indelible mark in every field, the Act seems to have an adverse effect," she added.

"I have urged @PiyushGoyal ji to consider amending the #IncomeTax Act so that the income accruing from the gifted asset gets taxed at the hands of wives/daughters-in law (sic)," Gandhi tweeted.

Updated Date:

Subscribe to Moneycontrol Pro at ₹499 for the first year. Use code PRO499. Limited period offer. *T&C apply

also read

PM Modi, council of ministers declare assets and liabilities, Jaitley is the richest
India

PM Modi, council of ministers declare assets and liabilities, Jaitley is the richest

PM Narendra Modi and his council of ministers declared their assets and liabilities today.

Sanitary napkins now exempt from GST; finance minister Piyush Goyal announces decision after council meeting
India

Sanitary napkins now exempt from GST; finance minister Piyush Goyal announces decision after council meeting

Sanitary napkins are taxed 12 percent tax under the one-year old GST regime, which attracted serious criticism.

Unnao gangrape case: HC slams UP govt over delay in Kuldeep Singh Sengar's arrest; FIR registered finally
India

Unnao gangrape case: HC slams UP govt over delay in Kuldeep Singh Sengar's arrest; FIR registered finally

The FIR itself came days after the Unnao girl tried to self-immolate in front of Chief Minister Yogi Adityanath's house on Sunday accusing authorities of inaction