She can invest in capital gain bond for 5 years.
Capital gain on property owned by mother
- Property sold on 30th March 2018, owned by Mother (Age 87 years) - No intention to reinvest money in property by her. - Sales proceeds intended to be gifted to sons. - What are the options to save Capital Gain Tax? - Mother has not filed Tax Return till now but this year she will file IT Return for 1st time.
Asked 7 years ago in Capital Gains Tax
Without reinvestment of any type, saving of LTCG tax is not possible. Option of gift comes afterwards.The only benefit is she is very senior citizen for which exemption limit is 5,00,000.
Hi,
Please tell how old the property is ?
Thanks
Damini
How much is the capital gains?
The same can be invested in specified bonds which has a maturity after 5 years and subsequent to maturity it can be gifted to sons.
Hope this clarifies.
Regards,
Nikhil.
To save capital gain tax she can invest in bonds also ,refer sec 54EC .Maximum amount which can be invested here is 50 lacs,to be invested with 6 months from date of sale.
Hi,
If she does not want to reinvest in property. She can invest the money in NHAI/REC bonds to get the exemption. Investment will have to be made within 6 months from the date of sale.
Instead of gifting the money, she can put the sons in Nominee.
Please feel free to call/ revert in case you need more clarity.
Thanks and regards
Abhishek Dugar
CA CS B.Com
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