Shyam transferred 2,000 shares of X Ltd. to Ms. Babita without any consideration. Later, Shyam and Ms. Babita got married to each other. The dividend income from the shares transferred would be –
A. Taxable in the hands of Shyam both before and after marriage
B. Taxable in the hands of Shyam before marriage but not after marriage
C. Taxable in the hands of Shyam after marriage but not before marriage
D. Never taxable in the hands of Shyam
Answer:D
Shyam transferred 2,000 shares of X Ltd. to Ms. Babita without any consideration. Later, Shyam and Ms. Babita got married to each other. The dividend income from the shares transferred would be –
A. Taxable in the hands of Shyam both before and after marriage B. Taxable in the hands of Shyam before marriage but not after marriage C. Taxable in the hands of Shyam after marriage but not before marriage D. Never taxable in the hands of Shyam