INTERNATIONAL ENVIRONMENTAL LAW

ASSIGNMENT

TOPIC- E-WASTE MANAGEMENT AND

BIOMEDICAL WASTE MANAGEMENT

Submitted by
-
Ankita Tripathi 8029
Tushita Sonkar 8060
Ishaan Tandon 8107
BALLB Sem-8
Section-B
 ACKNOWLEDGEMENT

The success and final outcome of this project required a lot of guidance and
assistance from many people and I am extremely privileged to have got this all
along the completion of my project. All that I have done is only due to such
supervision and assistance and I would not forget to thank them.

I respect and thank to Prof. Kiran Bala, for providing me an opportunity to do

the project work and giving us all support and guidance which made me
complete the project duly.

I am also extremely grateful to the library staff of Faculty of Law, Jamia Millia
Islamia for helping me identifying the relevant material for my project and
guiding me through the library sections on the tax law.
 TABLE OF CONTENTS

INTRODUCTION…………………………………………………………………...P. 3

I. SECTION 60………………………………………………………………...P.4

II. SECTION 61………………………………………………………………...P.5

III. SECTION 64………………………………………………………………..P.6

1. Section 64(1)
(ii).........................................................................................P.6

2. Section 64(1)
(iv)........................................................................................P.9

3. Section 64 (1)
(vi).......................................................................................P.11

4. Section 64(1)
(vii).......................................................................................P.12

5. Section 64(1)
(viii)....................................................................................P.13

6. Section
64(1A)..........................................................................................P.
14
 7. Section
64(2).............................................................................................P.
15

IV. SECTION 65…………………………………………………………………..P.15

BIBLIOGRAPHY……………………………
V.

………………………………...P.18
INTRODUCTION TO ‘CLUBBING OF
INCOME’ UNDER INCOME TAX ACT, 1961
Generally, a person is taxed in respect of income earned by him only. However,
in certain special cases income of other person is included (i.e. clubbed) in the
taxable income of the taxpayer and in such a case he will be liable to pay tax in
respect of his income (if any) as well as income of other person too. The
situation in which income of other person is included in the income of the
taxpayer is called as clubbing of income. E.g., Income of minor child is clubbed
with the income of his/her parent.

Section 60 to 64 contains various provisions relating to clubbing of income.

Section 60- Transfer of income without transfer
of assets: When the income therefrom is
regarded as that of transferor
All income arising to any person by virtue of a transfer whether revocable or
not and whether effected before or after the commencement of this Act shall,
where there is no transfer of the assets from which the income arises, be
chargeable to income-tax as the income of the transferor and shall be included
in his total income.

Section 60 is applicable if the following conditions are satisfied:

1. The taxpayer owns an asset.

2. The ownership of asset are not transferred by him. In other words, he has
retained the ownership of the asset.
 3. The income from the asset is transferred to any person under the
settlement, trust, covenant, agreement or the arrangement.
4. The above transfer may be revocable or may not be revocable.
5. The above transfer may be effected any time (maybe before the
commencement of the IncomeTax Act or after the commencement of the
Act, i.e. before or on or April, 1962).

If the above conditions are satisfied, the income from the asset would be
taxable in the hands of the transferor.

❏ Income for the purpose of Section 64 includes losses.1

❏ Section 60 does not apply if corpus itself is transferred.2

❖ Illustration:
X owns 4,000 14 per cent debentures of A Ltd. of Rs. 100 (annual interest being Rs. 56,000). On April 1,
2018 he transfers interest income to Y, his friend, without transferring the ownership of these
debentures. Although, during 2018-19, he transfers interest income to Y, his friend, without transferring
the ownership of these debentures. Although, during 2018-19, interest of Rs, 56,000 is received by Y, it
is taxable in the hands of X, as he has transferred income without transferring the ownership of the
asset.

Section 61- When the income therefrom is

regarded as that of transferor-Revocable
transfer of Assets-
All income arising to any person by virtue of a revocable transfer of assets
shall be chargeable to income -tax as the income of the transferor and shall be
included in his total income.

1 P. Doriswamy Chetty 183 ITR 559 (SC).

2 Grandhi Narayana Rao 173 ITR 593 (AP).
By virtue of section 61, if an asset is transferred under a “revocable transfer”,
income from such asset is taxable in the hands of the transferor. The transfer
for this purpose includes any settlement, trust, covenant, agreement or the
arrangement3.

In the following cases, a transfer is a revocable transfer :-

A. If an asset is transferred under a trust and it is revocable during the lifetime

of the beneficiary. Illustration- X transfers a house property to trust for
the benefit of A and B. However, X has a right to revoke the trust during
the lifetime of A and/ or B. It is a revocable transfer and income arising
from the house property is taxable in the hands of X.

B. If the asset is transferred to a person and it is revocable in the lifetime of

transferee.
Illustration- X transfers a house property to A. However, X has a right to
revoke a transfer during the lifetime of A. It is a revocable transfer and
income arising from the house property is taxable in the hands of X.

C. If an asset is transferred before April 1, 1961 and it is revocable within six

years.
Illustration- X transfers an asset on March 31, 1961. It is revocable on or
before June 6, 1963. It is a revocable transfer. Income arising from the
asset is taxable in the hands of X. Conversely, if

X transfers an asset before April 1, 1961 and it is revocable after six

years (say on April 10, 1967), it is not taken as a revocable transfer.

3 Section 63(b).
 D. If the transfer contains any provision for the re-transfer of the asset (or
income therefrom) to the transferor, directly or indirectly, wholly or partly4.
Illustration- X transfers an asset. Under the terms of transfer, on or
after April 1, 1998, he has a right to utilise the income of the asset for his
benefit. However, he has not exercised his right as yet. On or after April
1, 1998, income of the asset would be taxable in the hands of X, even if
he has not exercised the aforesaid right.

E. If the transferor has any right to re-assume power over the asset (or income
therefrom) directly or indirectly, wholly or partly5. If there is provision to
reassume power, the transfer will be revocable and the actual exercise of
power is not necessary6.
Illustration: X transfers an asset. Under the terms of transfer, he has a
right to use the asset for the personal benefits of his family members
whosoever he wants. Till date, he has not exercised this right. It is a
revocable transfer. The entire income from the asset would be taxable in
the hands of X.

In C.T. Senthilnathan Chettiar V. State of Madras7, the Supreme Court held

that where the assessee can at any time reassume power over the assets or the
income by just cancelling or altering the terms of deed, trust was revocable.
Similarly, in V. Venugopala Varma Rajah v. CIT8, the Apex Court ruled that
where no absolute right is given to transferee and the asset can revert back to
transferor in certain circumstances, transfer is revocable.

4 S.63(a)(i).
5 Section 63(a)(ii).
6 CIT v. S.Raghbir Singh [1965] 57 ITR 408(SC).
7 [1968] 67 ITR 102 (SC).
8 [1972] 84 ITR 466 (SC).
 Section 64-Income of other persons included
only in the individual’s total income
Income of the individuals to include income of -
(A) Spouse and Son’s wife
(B) Minor child
(C) HUF

S. 64(1)(ii)- When an individual is assessable in respect of remuneration of

spouse- Remuneration of spouse from a concern in which the other spouse
has substantial interest

In computing the total income of an individual, there shall be included all such
sums as arises directly or indirectly to the spouse of such individual by way of
Salary, commission, fees or any other form of remuneration whether in cash or
in kind from a concern in which the individual has substantial interest.
Provided that nothing in this clause shall apply in relation to any income
arising to the spouse where the spouse possesses technical or professional
qualifications and the income is solely attributable to the application of his or
her technical or professional knowledge and experience

This section is applicable if the following conditions are satisfied:

1. The taxpayer is an individual
2. He or she has a substantial interest in a concern.
3. Spouse of the taxpayer (i.e., husband or wife of the taxpayer) is
employed in the above-mentioned concern.
4. The spouse is employed in the concern without any technical or
professional knowledge or experience.
❏ However, the remuneration arises to the spouse is solely attributable to the
application of technical or professional qualification, knowledge and
experience of the spouse, such remuneration will not be clubbed.9
❏ Where both husband and wife have substantial interest in a concern and both
are in receipt of income by way of salary etc., from the said concern, such
income shall be included in the case of the husband or wife, whose total
income excluding such income is greater.

❏ For the purpose of this clause, An individual shall be deemed to have

substantial interest in a concern –

I. If the concern is a company, he by himself or together with his relatives

beneficially holds equity shares carrying not less than 20% of voting
power at any time during the previous year. II. In any other case, he by
himself or together with his relatives is entitled to at least 20% of the
profits of such concern at any time during the previous year.

❏ ‘Relative’ in relation to an individual means the husband, the wife, brother or

sister or any lineal ascendant or descendant of that individual.

❏ For the purposes of clubbing the income under this S.64 (1)(ii), salary has to
be computed in accordance with the provisions of sections 15 to 17 of the IT
Act, 1961.

❏ The expression “concern” covers both business concern and professional

concern and both proprietary and non-proprietary concerns.

❏ “Professional qualification” means fitness to do job or undertake an

occupation or vocation requiring intellectual skill or requiring manual skill as
controlled by intellectual skill and which is such that a person should be able
to take out a living therefrom independently, though the salary does not cease

9 Yashwant Chhajta v. CIT [2013] 214 Taxman 280 (HP).

 to be product of professional skill merely because particular employment is
accepted.

It is not necessary to confine the word “technical” to qualifications having

technical subjects. Technical qualification may take within its fold everything
connected with specialisation in particular subject, be it science, technology or
commerce or business management.

The word “technical or professional qualification” do not necessarily relate to

technical or professional qualifications acquired by obtaining a certificate,
diploma or a degree or in any other form from a recognised body like a
university or an institute10. However , contrary opinion expressed by some
other courts, it is respectfully submitted , requires reconsideration.

The words “ technical or professional” must receive a liberal construction as

that term is not defined in the section itself or elsewhere in the Act. The word
“technical” is a term of wide import . Any task required to be performed on an
orderly and methodical manner which require some skill and knowledge for
performance and which also involves some degree of complexity, can be
regarded as “technical”. The fact that ordinarily the term “technical” is used in
relation to things mechanical or electrical or anything associated with
machinery does not warrant limiting the scope of the term in Section 64.
Similarly, the word “profession” is again a term of wide import. The varieties
of profession are endless.

It is therefore, necessary to consider the term “technical and professional

qualifications and experience” in the context of the facts which are required to
be considered in a given case. Regard must , therefore, be had to the nature of
the business carried on by the concern and the mind of technical or professional
qualifications, knowledge and experience possessed by the spouse to whom the
payment is made from the concern for the services rendered by that person.11

10 Batta Kalyani v. CIT [1985]20 taxman 378 (AP).

11 CIT v. R. Jayalakshmi [1998]101 Taxman 350(Mad.)
 Section 64(1)(iv)- When an individual is assessable in respect of income
from assets transferred to spouse- Income accruing or arising from the
assets transferred by one spouse to another without adequate consideration
In computing the total income of an individual, there shall be included all such
income as arises directly or indirectly , subject to the provisions of Section
27(i), to the spouse of such individual from assets transferred directly or
indirectly to the spouse of such individual otherwise than for adequate
consideration or in connection with an agreement to live apart.

The following conditions should be satisfied-

1. The taxpayer is an individual.
2. He/she has transferred an asset (other than a house property).
3. The asset is transferred to his/her spouse.
4. The transfer may be direct or indirect.
5. The asset is transferred otherwise than (a) for adequate consideration, ot
(b) in connection with an agreement to live apart.
6. The asset may be held by the transferee-spouse in the same form or in a
different form.
If the above conditions are satisfied, any income from such asset shall be
deemed to be the income of the taxpayer who has transferred the asset.

The income from the asset transferred must be calculated in the same way as it
would be if the asset has not been transferred. Exemption, deduction or tax
incentives in respect of such income can be claimed by the transferor.

❏ Natural love and affection may be a good consideration but that would not be
adequate consideration for the purpose of this section 64 (1).12

❏ The relationship of husband and wife should subsist both at the time of transfer
of asset and at the time when income is accrued in order to attract clubbing
12 Tulsidas Kilachand v. CIT [1961]42 ITR 1 (SC).
 provision. It means that transfer of asset before marriage is outside the scope
of this section. Similarly , if transferor– spouse dies, the income , though
continued to be enjoyed by the transferee, cannot be included in the income of
deceased transferor, heir, administrator or executor , as widow or widower is
not a spouse .13

❏ The word “spouse “ does not include illegal wife.14 Wife , in these provisions ,
means a lawfully wedded wife and child, a legitimate child. Income of a
prospective wife or an illegitimate child is not affected by these provisions.15

❏ If any property is acquired by the wife out of an allowance given by her

husband for her personal expenses ( called pin money), the clubbing
provisions shall not apply. 16

❏ Where the assessee made payments of premium on policy taken in the name of
his wife, the maturity proceeds were invested and income earned thereon in
the name of his wife. The assessing officer clubbed such income in the hands
of the assessee. The Gujarat high court upheld such action. The court held that
proximity between asset and income had to be considered irrespective of time
lag between transfer of asset and actual income derived.17

❏ Income from assets transferred by a non resident individual to his wife is

subject to clubbing provisions of Section 64 only if income from such asset
accrues and is received in India 18

❏ Deemed owner u/s 27 (i) : Where a house property is transferred without an

adequate consideration by an individual to his or her spouse, the transferor
shall be deemed owner of the house property and shall be subject to tax under
the head Income from house property.

13 Vinodkumar Ratilal v. CIT [1975] 100 ITR 564 (Guj).

14 Executors of will of T.V. Krishna Iyer v. CIT [1966] 38 ITR 144(Ker).
15 Thomas (P.J.P)v. Cit [1962] 44ITR 897 (Cal).
16 R. Dalmia v. CIT {1982} 133 ITR 169 (Del).

17 Damodar K.Shah v. CIT [2001] 119 Taxman 882 (Guj).

18 CIT v. F.Y. Khambaty [1986] 159 ITR 203 ( Bom). CA.Hemavathi Ramachandran FCA DISA CISA 6
 Capital gains: If there is any capital gain on the transfer of such house
property, such capital gain shall, first be computed in the hands of the
transferee and thereafter the same will be clubbed with the income of the
transferor as per the provisions of this section 64(1)(iv).

Section 64 (1)(vi)- When an individual is assessable in respect of income

from assets transferred to son’s wife- Income from assets transferred to
son’s wife without adequate consideration- In computing the total income of
an individual, there shall be included any income which arises from assets
transferred directly or indirectly by an individual to the son’s wife after 1st
June 1973, otherwise than for adequate consideration.
The conditions for the applicability of section 64(1)(vi) are given below:-
1. The taxpayer is an individual.
2. He/she has transferred an asset after May 31,1973.
3. The asset is transferred to his/her son’s wife.
4. Transfer may be direct or indirect.
5. The asset is transferred otherwise than for adequate consideration.
6. The asset may be held by the transferee in the same form or in a different
form.

If the above conditions are satisfied, then income from the asset is included in
the income in the income of the taxpayer who has transferred the asset.

Common issues in Sec 64(1) (iv) and (vi) :

(A) Pre – marital transfers: The relationship of Husband and wife / Father in
law, mother in law and daughter in law for the purpose of Sec 64 should
subsist both at the time of transfer and at the time of accrual of income.19
19 Philip John Plasket Thomas v. CIT {1963}49 ITR 97(SC).
As per Section 56(2)(vi), any sum of money , the aggregate value of which
exceeds Rs.50000, received without consideration by an individual or HUF in
any previous year from any person or persons on or after 01-04-2006, subject
to certain exceptions is taxable under the head Income from other sources. In
this case transferee spouse is taxable.

As per Section 56(2)(vii), Any sum of money, the aggregate value of which
exceeds Rs.50000 is received without consideration or property (whether
movable or immovable) is received without consideration or movable property
is received for an inadequate consideration by an individual or HUF on or after
01-102009, if the amount of such gift or inadequate consideration exceeds
Rs.50000 subject to certain exceptions is taxable under the head Income from
other sources. In this case transferee spouse is taxable.

(B) When asset transferred without adequate consideration is invested in

business by the transferee:
Where the assets transferred by an individual to the spouse or son’s wife are
invested by the transferee-
● In any business , ( not being as capital contribution in a firm),
proportionate income arising to the transferee attributable to the
investment ; and
● In the nature of capital contribution in a firm, any interest receivable by
the transferee attributable to such investment. Shall be included in the
total income of the individual. For this purpose, the proportion shall be
with reference to the value of investment aforesaid as on the first day of
the previous year to the total investment in the business by the transferee
as on that day.

(C) Income for clubbing purpose includes losses.

(D)Whether income from accretion to asset be clubbed : Income on the asset

transferred is clubbed but not the income on the accretion to the asset. For e.g,
If debentures are gifted by the husband to the wife, interest income on those
debentures shall be clubbed. If the interest on debenture is deposited , the
interest on deposit shall not be clubbed in the hands of the husband. It is
taxable in the hands of the wife.

(E)When asset transferred without adequate consideration has changed the

shape and identification: Where an asset transferred by spouse is converted in
to another form, income derived from such converted asset shall be clubbed.
For e.g., Mr.A gifts a sum of Rs.50,00,000 to Mrs.A on the occasion of
wedding anniversary . Mrs.A invest this sum in a fixed deposit , which derives
interest income of Rs.25,000 p.m. The interest income so derived shall be
clubbed in the hands of Mr.A, despite the fact that it is the income from
converted asset.

Section 64(1)(vii)-When an individual is assessable in respect of income

from assets transferred to a person for the benefit of spouse-Income from
assets transferred to any person / persons or AOP for the immediate or
deferred benefit of spouse -
In computing the total income of an individual, there shall be included all such
income arising directly or indirectly to any person or association of persons
from the assets transferred by that individual otherwise than for adequate
consideration to the extent to which the income from such asset is for the
immediate or deferred benefit of his/her spouse.
One has to satisfy the following conditions to satisfy this section:
1. The taxpayer is an individual.
2. He/she has transferred an asset.
3. The transfer may be direct or indirect.
4. The asset is transferred to a person or an association of persons.
5. It is transferred for the immediate or deferred benefit his?his spouse.
6. The transfer is without adequate consideration.
If the aforesaid conditions are satisfied then income from such asset to the asset
to the extent of such benefit is taxable in the hands of the taxpayer who has
transferred the asset.

Example: X transfers government bonds without consideration to an

association of persons subject to the condition that the interest income from
these bonds will be utilised for the benefit of Mrs.X. Interest from the bonds
shall be included in the income of X.

Section 64(1)(viii)- When an individual is assessable in respect of income

from assets transferred to a person for the benefit of son’s wife-Income
from assets transferred to any person / persons or
AOP for the immediate or deferred benefit of son’s wife -
In computing the total income of an individual, there shall be included all such
income arising directly or indirectly to any person or association of persons
from the assets transferred by that individual otherwise than for adequate
consideration to the extent to which the income from such asset is for the
immediate or deferred benefit of his/her son’s wife.

For the applicability of this section the following conditions have to be

satisfied:
1. The taxpayer is an individual.
2. He/she has transferred an asset after May 31,1973.
3. The asset is transferred to any person or an associate of persons.
4. Transfer may be direct or indirect.
5. The asset is transferred for the immediate or deferred benefit of his/her
son’s wife.
6. The asset is transferred otherwise than for adequate consideration.
If the above conditions are satisfied, then income from the asset to the extent of
such benefit is included in the income of the taxpayer who has transferred the
asset.

Example- Mrs. X transfers an industrial undertaking to an association of

persons subject to the condition that out of the annual income i.e., Rs
30,00,000, a sum of Rs 5,00,000 shall be utilised for the benefit of daughter-in-
law of Mrs. X. In this case, Rs 5,00,000 shall be included in the income of Mrs.
X.

Section 64(1A)- When an individual is assessable in respect of income of

his minor child-Income of
Individual to include income of Minor child
1. In computing the total income of an individual, there shall be included all
such income arises or accrues to his minor child.

2. However,income shall not be included if it arises or accrues to a Minor child

on account of any
● Manual work done by him ; or
● Activity involving application of his skill , talent or specialized
knowledge and experience.

3. If the minor child is suffering from any disability of the nature specified in
Sec 80 U , the income of such child shall not be included in the hands of the
parent but shall be assessed in the hands of the child.

4. The income of the minor child shall be included-

a. Where the marriage of his parent subsists, in the income of that parent
whose total income (excluding this income ) is greater.
b. Where the marriage of his parent does not subsist, in the income of that
parent who maintains the minor child in the previous year.
5. Child includes a step child and an adopted child of that individual.

6. Income of the minor married daughter is clubbed in the hands of the parent.
However , where Sec 27 applies, clubbing of income from property gifted by
the parent does not arise.

7. Even though income derived by the minor from the manual work or from
activity involving skill and talent can not be clubbed, there is no provision to
avoid clubbing of income earned on investment made out of such income.

8.Where any such income is once included in the total income of either parent,
any such income arising in any succeeding year shall not be included in the
total income of the other parent , unless the assessing officer is satisfied, after
giving that parent an opportunity of being heard, that it is necessary to do so.

9. Exemption u/s 10(32) : If the income is included in the hands of the parent
under Section 64(1A), then the assessee is entitled to claim exemption under
Sec 10(32) to the extent of Rs.1500 per child.

Section 64(2)- What is tax implication of conversion of self-acquired

property into joint family property and subsequent partition- Income of
individual to include income of HUF
Where, in the case of an individual being a member of a Hindu undivided
family, any property having been the separate property of the individual has, at
any time after the 31st day of December, 1969, been converted by the
individual into property belonging to the family through the act of impressing
such separate property with the character of property belonging to the family
or throwing it into the common stock of the family or been transferred by the
individual, directly or indirectly, to the family otherwise than for adequate
consideration (the property so converted or transferred being hereinafter
referred to as the converted property), then, notwithstanding anything
contained in any other provision of this Act or in any other law for the time
being in force, for the purpose of computation of the total income of the
individual under this Act for any assessment year commencing on or after the
1st day of April, 1971,—
(a) the individual shall be deemed to have transferred the converted property,
through the family, to the members of the family for being held by them
jointly ;
(b) the income derived from the converted property or any part thereof shall be
deemed to arise to the individual and not to the family ;

(c) where the converted property has been the subject-matter of a partition
(whether partial or total) amongst the members of the family, the income
derived from such converted property as is received by the spouse on partition
shall be deemed to arise to the spouse from assets transferred indirectly by the
individual to the spouse and the provisions of sub-section (1) shall, so far as
may be, apply accordingly :
Provided that the income referred to in clause (b) or clause (c) shall, on being
included in the total income of the individual, be excluded from the total
income of the family or, as the case may be, the spouse of the individual.
Explanation 1.—For the purposes of sub-section (2),—
"property" includes any interest in property, movable or immovable, the
proceeds of sale thereof and any money or investment for the time being
representing the proceeds of sale thereof and where the property is converted
into any other property by any method, such other property.
Explanation 2.—For the purposes of this section, "income" includes loss.
 The following transactions are covered by Section 64(2)

I. Where an individual (being member of a Hindu undivided family)

converts (after December 31,1969) his self-acquired property belonging
to the family. It is done by impressing such property with the character
of joint family property or throwing such property into common stock of
the family.
II. When such an individual transfers his self-acquired property, directly or
indirectly, to the family otherwise than for adequate consideration.

❏ Clubbing before partition- Income from the converted property or property

transferred for less than adequate consideration is chargeable to tax in the
hands of the the transferor (before partition of the family).

Example: X transfers his self-acquired property yielding an annual income Rs.

60,000 to his Hindu undivided family, consisting of X. Mrs. X, his major son Y
and minor son Z. Income of Rs. 60,000 will be included in the income of X
(and not of the HUF) by the virtue of this section.

❏ Clubbing after partition- If the property converted or transferred by an

individual is subsequently transferred amongst the members of the family, the
income derived from such converted property, as is received by the spouse of
the transferor will be included in the income of the transferor.

A Hindu father, being the Karta of HUF, is vested with the power of making,
within reasonable limits, gifts of ancestral movable property, without the
consent of his sons, for the purposes prescribed by texts of law, as gifts through
affection, support of family, relief from distress and so forth. He also has power
to make a gift, within reasonable limit, of ancestral immovable property, for
‘pious purposes’. The alienation should, however, be an act inter vivos and not
by will.
In CGT v. Tej Nath20, the Karta made gifts in favour of his sons and other
members of the family. The Court held the gifts to be invalid. In S.V.
Sunderasan v. Asstt. CED21, held that settlement of land in favour of a
coparcener was held to be invalid by the Madras High Court.

Section 65 -Liability of person in respect of income included in the income of

another person- Where, by reason of the provisions contained in this Chapter
or in clause (i) of section 27, the income from any asset or from membership in
a firm of a person other than the assessee is included in the total income of the
assessee, the person in whose name such asset stands or who is a member of
the firm shall, notwithstanding anything to the contrary contained in any other
law for the time being in force, be liable, on the service of a notice of demand
by the Assessing Officer in this behalf, to pay that portion of the tax levied on
the assessee which is attributable to the income so included, and the provisions
of Chapter XVII-D shall, so far as may be, apply accordingly :
Provided that where any such asset is held jointly by more than one person,
they shall be jointly and severally liable to pay the tax which is attributable to
the income from the assets so included.

According to Sec 65, wherever clubbing provision is attracted, the person in

whose name assets stands shall be liable , on the service of a notice of demand
by the assessing officer, to pay that portion of the tax levied on the assessee
which is attributable to the income so clubbed.

Where any such asset is held jointly by more than one person, they shall be
jointly and severally liable to pay the tax on the income from such assets.

20 (1972) 86 ITR 96 (P & H) (FB).

21 (1983) 144 ITR 916 (Mad).
 BIBLIOGRAPHY
Websites used:
● www.scconline.com
● www.incometaxindia.gov.in Books used:
● Dr. Vinod K. Singhania and Dr. Monica Singhania, Student’s Guide to Income Tax
Act
Including GST, Taxmann, 60th Edition, 2019-20
● The Income-Tax Act, 1961 (43 of 1961) as amended by The Finance Act 2019,
Professional Book Publishers, 2019-20