https://www.taxtmi.com/caselaws?id=39463 Income arising to an assessee's wife from a partnership firm was analysed under the clubbing rule in section 64(iii) of the Income-tax Act, 1961. The decisive point was whether her admission to the firm and resulting profit share flowed from capital transferred by the assessee, or from her own status as an active partner. On the facts accepted by the appellate authorities, she was not admitted because of the capital contribution, and the link between the transfer and the profit share was too remote to justify clubbing. Accordingly, the wife's share of profits was not includible in the assessee's assessment, apart from the separate interest component. en-us Tue, 06 Jan 1976 00:00:00 +0530 Fri, 16 Apr 2010 15:58:25 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39463 Income arising to an assessee's wife from a partnership firm was analysed under the clubbing rule in section 64(iii) of the Income-tax Act, 1961. The decisive point was whether her admission to the firm and resulting profit share flowed from capital transferred by the assessee, or from her own status as an active partner. On the facts accepted by the appellate authorities, she was not admitted because of the capital contribution, and the link between the transfer and the profit share was too remote to justify clubbing. Accordingly, the wife's share of profits was not includible in the assessee's assessment, apart from the separate interest component. Case-Laws Income Tax Tue, 06 Jan 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39463