Tax Benefit by sub- letting a property to wife
Hello,
Need your expert advice on tax saving planning on the "Rental Income"
Scenario 1: Mr.X is the owner of the property and He is receiving a rental income of Rs.100 ( example) , and he wants to sublet this property to his spouse Ms.Y for Rs.50 ( example) , and the Mr.X and Ms.Y has a legal agreement of lease and sublet clause mentioned , hence now Ms.Y gets the Rental Income of Rs.50 to be declared under "Income from other sources" and Mr.X receives Rs.50 and which will be declared by Mr.X under "Income from House Property" and gets the 30% rebate.
Is this allowed legally to reduce the Tax burden on Mr.X and Ms.Y being a non working Spouse. what documents to be executed between Mr.X and Ms.Y
or is there any better way to generate Revenues for non working spouse Ms.Y.
Scenario 2:
@ note : In the above case, Mr.X is going to buy a house and thinking of Registering Ms.Y as a joint owner for the property ( Mr.X has 100 % funded the property ( through home loan) and Mr.Y has no contributions to the sale considerations and Home loans . How can Mr.X can generate a revenue for Ms.Y , even though the Mr.X is liable to get the full Rent from the building.
The House/building Mr.X is going to purchase has 6 houses in it.
Thanks for your Reply