If husband transfer an amount to his wife’s (Housewife) individual saving bank account ; Then as per income tax rules income generated from that amount would be taxed under husband’s income but if that amount is utilised by her to open a SCSS’2004 Joint account in the name of husband and herself as primary account holder, then:
- Would Income generated from this account also be taxed under husband’s taxable income ?
- Who is entitled to claim Deduction under 80c for the amount so utilised by wife?
Yes, in that case also such SCSS income is the husband’s income.
What is the answer for my query No.2 ?
It is you who has to claim the deductions under Sec.80C.
OK. Interest income is clubbed with husband’s, but TDS if any on this income will be reflected in 26AS of wife being first name as account holder.To claim refund of such TDS – wife have to show the interest income in her account also.It is very much contradictory that one amount of interest will claimed by both husband and wife for different purposes. Please suggest the suitable remedy.