Immediately after the marriage of his son, an assessee can start tax planning for his daughter-in-law. The daughter-in-law should not receive any gifts, directly or indirectly, from her husband, mother-in-law or father-in-law. The gifts, if any, received at the time of the marriage occasion should be from relatives other than the three categories mentioned above. Thus, the bride’s mother, father, brother, uncle, aunt, grandfather-in-law, grand-mother-in-law, brother-in-law, or sister-in- law, can give her gifts so that she can have independent funds to enable her to have a separate income tax file and be liable to be separately assessed in a manner that the income from these gifts, etc. is not clubbed with the income of her husband. With the help of such gifted amounts, she can even join a partnership firm, start an independent business, buy a house property, or make other investments. The income from these sources would exclusively belong to the daughter-in-law and would be liable to tax separately in her own hands for income tax purposes.
There are innumerable tax planning advantages which are available in the event of starting a separate income tax file of the daughter-in-law. Like any other individual woman tax payer, the-present maximum amount of exempted income on which no income tax would be payable by the daughter-in-law is Rs. 2,00,000 for the A.Y. 2013-2014. Besides, the daughter-in-law would also enjoy a special tax deduction up to Rs. 1 lakh under Section 80C of the Income tax Act, 1961. In case the daughter-in-law were to opt for a Mediclaim policy, then she would also enjoy an additional deduction in respect of the payment made towards Mediclaim up to Rs. 15,000 p.a.
Finally, if a separate Income tax file is maintained of the daughter-in law then she can enjoy a separate deduction up to Rs. 1,50,000 p.a. in respect of a housing loan in case she opts for a self—residential house or an apartment by taking a loan.