As per the Income Tax law, income of minor child earned from manual work or any activity which involves application of skill, knowledge, talent, experience, etc. will not be clubbed with the income of his/her parent.

However, addition from such income will be clubbed with the income of parent of such minor.

Income of minor will be clubbed along with the income of that parent whose income (excluding minor's income) is higher.

In case, if the marriage of parents does not sustain, then minor's income will be clubbed with the income of parent who maintains the minor.

In case the income of individual includes income of his/her minor child, such individual can claim an exemption of Rs. 1,500 or income of minor so clubbed, whichever is less.

If a minor suffering from disability specified under section 80U will not be clubbed with the income of his/her parent.

Consider an example, if Mr Rajesh has two minor children named Ajay and Vijay. Ajay is a child artist and Vijay is suffering from diseases specified under section 80U

• Income of Ajay from stage shows: Rs. 2,00,000
• Income of Ajay from bank interest: Rs. 9,000
• Income of Vijay from bank interest: Rs. 1,20.,000

Thus, income of Ajay from stage show will not be clubbed with the income of Mr. Rajesh but income from bank interest of Rs. 9,000 will be clubbed with the income of Mr. Rajesh

Any income of Vijay will not be clubbed with the income of Mr. Rajesh

However, taxpayer can claim an exemption, in respect of interest income of Rs. 6,000 clubbed in the income of Mr. Raja, he will be entitled to claim exemption of Rs. 1,500. Hence, net income to be clubbed will be Rs. 4,500 (i.e., Rs. 6,000 - Rs. 1,500).

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