Section 99 - Income of individual to include income of spouse, minor child, etc.

Income clubbing under Section 64: attributing transferred assets' income to individual, spouse, son's wife, and minor child

The total income of an individual includes income arising to the spouse, the son's wife (for transfers on/after 1 June 1973), and the minor child where such income arises from assets transferred directly or indirectly by the individual without adequate consideration, subject to exclusions for a minor's personal earnings, applied talent, or specified disability. Salary from a concern where the individual has a substantial interest is attributable to the individual, except remuneration solely due to the spouse's professional skills. If transferred assets are invested by the spouse/son's wife in business or partnership, the includible amount is a pro rata share of the business income based on invested value. Property converted into joint family property without adequate consideration is treated as transferred and its income attributed to the individual, with partition proceeds to the spouse treated as indirect transfers. Allocation rules determine which parent's return includes a minor's income; 'income' includes loss, and conversions before 31 December 1969 are excluded. Substantial interest thresholds are 20% voting power for companies and 20% profit entitlement otherwise.