Income Tax

Clubbing of Income: Spouse, Minor Child and Asset Transfers

Finin2min Tax Desk·June 2026·7 min readSCHEDULE SPI

Income is usually taxed in the hands of the person who earns it, but clubbing provisions can shift another person’s income into your return. This commonly affects spouse transfers, minor child income and family investment structures.

For broader context, see the Income-tax Act, 2025 — Full Chapter-by-Chapter Study Guide Hub.

Official concept

The official Schedule SPI page says the Income-tax Act contains provisions for clubbing income of another person with the taxpayer's income, such as when a minor child earns income or when a taxpayer transfers assets to a spouse.

Use the ITR Form Selector — AY 2026–27 to work through the related inputs before acting.

Practical examples

Situation	Clubbing risk
Money gifted to spouse and invested	Income from transferred asset may need clubbing review.
Minor child earns interest/dividend	Minor child's income may be clubbed subject to exemption.
Family loan without documentation	Could create attribution and evidence issues.
Child’s skill income	Needs separate review; not every child-related receipt is treated the same.

Minor child limit

The official threshold page lists income of minor child clubbed under Section 64(1A) and refers to the Section 10(32) exemption of ₹1,500 per child or income of minor, whichever is lower.

Finin2min warning

Do not use family transfers as casual tax planning. Keep agreements, bank trail and tax treatment notes.

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Official sources used

This article is intentionally source-limited to official Income Tax Department / e-Filing material. Verify final positions with the latest Act, Rules, notifications, circulars and portal utilities before publishing.

FAQs

What is Schedule SPI? ▾

It reports income of specified persons such as spouse or minor child that is includible in the taxpayer's income.

Is minor child income always clubbed? ▾

Specific rules and exceptions apply; review Section 64 and Schedule SPI treatment.

What is the minor child exemption amount? ▾

The official threshold page refers to ₹1,500 per child or income of minor, whichever is lower.

Source and review trail

Use the current official instrument, portal or regulator publication before acting. This panel separates the category authority from page-specific references.

Primary category: Income Tax
Official starting point: www.incometax.gov.in