The salary or professional fees earned by your wife may or may not be clubbed with your income, depending on the nature of employment and the relationship between your income and her earnings. Let’s break it down:

1️⃣ When Wife’s Income is NOT Clubbed? ✅

✔ Genuine Salary from an Unrelated Employer:

• If your wife works independently for a company, firm, or any unrelated employer, her salary is taxed in her hands, and clubbing provisions do not apply.
  ✔ Professional Fees from Independent Work:
• If she is self-employed and earning fees from clients, it remains taxable in her hands.
  ✔ When She Has a Separate Business:
• If she is running her own independent business, her income is not clubbed with yours.

2️⃣ When Wife’s Income is Clubbed? ❌

📌 Salary from a Concern in Which You Have Substantial Interest (Section 64(1)(ii))

• If your wife is drawing salary, commission, or fees from a business or company in which you have a substantial interest (i.e., you hold at least 20% equity or voting power), then her salary is clubbed with your income.
• This applies only if her role is not based on her professional qualifications or expertise.

📌 Example:

• If you own a private limited company (where you hold more than 20% shares) and your wife is getting a salary without any actual work, it will be clubbed with your income.
• However, if she is qualified for the role (e.g., a CA earning salary in your accounting firm), her income remains taxable in her own hands.

3️⃣ What About Partnership Firm Income?

• If your wife receives a share of profit from a partnership firm where you are a partner, it is not clubbed as profit-sharing is tax-free under Section 10(2A).
• However, if she receives a salary from the firm and she does not contribute to the business, her salary might be clubbed.

Key Takeaways:

✔ Independent salary/professional fees = Taxed in her hands ✅
✔ Salary from a business where you hold 20%+ = Clubbed with your income ❌
✔ If she is qualified for the job, her income is not clubbed ✅
✔ Salary from an unrelated company = Taxed separately ✅