Does it mean that I gift part of my money to say my wife(a homemaker ),& that becomes her income & pays tax as per (say) interest earned from that money every year? How much can I gift to my wife every year? Is there a limit
It is very sad that rediff has not validated the authenticity of information provided before they post some article like this. It is still more sad to see that this book is being sold for Rs.190/- and also has a ISBN for it. i think the author is trying to fool the readers. rediff should not encourage these kind of bogus articles
The article carefully bypasses how the income is actually distributed among members and the HUF ... it just says "Through an intelligent use of gifts and settlements by Mr. Zerotaxwala to all members of his family" ... as if this is a fools paradise.
Does rediff review the articles before it publishes those ?
Mr. Lakhotia, you seem pretty desperate to not pay any tax to the Indian government/ any other government. For your information, the only way to do that is to work in a geography like the gulf where there is no tax. Why only INR 13.1 lakh, you can earn INR 10 crores per year over there and not pay any tax.
What about zerotaxwala's income tax? gift will not be considered as an business expense , its out of income that you can make a gift payment and it attracts tax. any child can tell you that.. dont waste our time REDIFF.
