Mr. Bala transferred his let out residential property to his wife by way of Gift settlement. During the Financial year 2019-20, she earned rental income of ₹ 30,000 per month. She made fixed deposit in a bank out of such rental income and earned interest income during the year of ₹ 21,000. The total amount of income liable for clubbing in the hands of Mr. Bala for the assessment year 2020-21 is:
A. Nil
B. ₹ 21,000
C. ₹ 2,52,000
D. ₹ 2,73,000
Answer:A
Mr. Bala transferred his let out residential property to his wife by way of Gift settlement. During the Financial year 2019-20, she earned rental income of ₹ 30,000 per month. She made fixed deposit in a bank out of such rental income and earned interest income during the year of ₹ 21,000. The total amount of income liable for clubbing in the hands of Mr. Bala for the assessment year 2020-21 is:
A. Nil B. ₹ 21,000 C. ₹ 2,52,000 D. ₹ 2,73,000