A has gifted ₹ 10,00,000 to his wife on 1.4.2017 The wife invested the above sum as capital contribution to the firm where she is a partner and earned interest every year. The total capital of Mrs. R as on 1.4.2020 including 3 years interest was ₹ 15,00,000. During the year she earned ₹ 2,70,000 as interest on such capital balance. The income to be clubbed in the hands of R shall be:
A. ₹ 2,70,000
B. ₹ 1,80,000
C. Nil
D. ₹ 90,000
Answer:B
A has gifted ₹ 10,00,000 to his wife on 1.4.2017 The wife invested the above sum as capital contribution to the firm where she is a partner and earned interest every year. The total capital of Mrs. R as on 1.4.2020 including 3 years interest was ₹ 15,00,000. During the year she earned ₹ 2,70,000 as interest on such capital balance. The income to be clubbed in the hands of R shall be:
A. ₹ 2,70,000 B. ₹ 1,80,000 C. Nil D. ₹ 90,000