Mr. Jain and his wife Mrs. Jain are partners in a partnership firm holding 25% share each. During the F.Y. 2023-24, the firm paid - 2,50,000 to each…

Computation of Gross Total Income of Mr. Jain and Mrs. Jain for A.Y. 2024-25 Particulars Mr. Jain ₹ Mrs. Jain ₹ Salary 12,50,000 - Less: Standard deduction under section 16(ia) 50,000 12,00,000 Interest on Fixed Deposit earned by Mrs. Jain 14,00,000 Total income (before including remuneration from firm and minor's income) 12,00,000 14,00,000 Remuneration from firm (assumed that the same is fully deductible in the hands of the firm) 2,50,000 Remuneration of 2,50,000 received by Mr. Jain has to be included in the total income of Mrs. Jain, since both of them have substantial interest in the concern (i.e., each having 25% share in the firm, in the present case), and her total income of 14lakh exceeds the total income of her spouse excluding this income (i.e.,12 lakh). It is assumed that such remuneration is fully deductible in the hands of the firm. 2,50,000 Total Income (before including minor's income) 12,00,000 19,00,000 Income of three minor children to be included in Mrs. Jain's income 1 , since her total income before including minor's income is higher than that of her husband. - Neeta 15,000 - Meeta 10,000 - Seeta 2,000 27,000 Less: Exemption of 1,500 u/s 10(32) in respect of the income so included. 4,500 22,500 Gross Total Income 12,00,000 19,22,500 1 It is assumed that the income of the minor children are not on account of their skills.