Clubbing of income: transfers purportedly satisfying deferred dower during marriage treated as gifts and aggregated for tax. Prompt dower payable on demand is an actionable debt and transfers in its satisfaction are for adequate consideration, not gifts; unregistered transfers of immovable property remain ineffective. Deferred dower does not constitute a present debt during marriage and cannot be converted into a prompt obligation; transfers during subsistence of marriage in satisfaction of deferred dower are treated as gifts, subject to income clubbing and wealth tax aggregation and may attract gift tax, and tax officers should take action and review past cases accordingly.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Clubbing of income: transfers purportedly satisfying deferred dower during marriage treated as gifts and aggregated for tax.
Prompt dower payable on demand is an actionable debt and transfers in its satisfaction are for adequate consideration, not gifts; unregistered transfers of immovable property remain ineffective. Deferred dower does not constitute a present debt during marriage and cannot be converted into a prompt obligation; transfers during subsistence of marriage in satisfaction of deferred dower are treated as gifts, subject to income clubbing and wealth tax aggregation and may attract gift tax, and tax officers should take action and review past cases accordingly.
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