Capital Gains Tax at the hands of successors

Hi

The successors shall not be liable to taxes.

Tax shall be payable by the father if amount is not invested. In case of his demise, return shall be filed by his legal heir on the income tax portal.

Any of the 2 sons shall file the ITR as legal heir. Father's estate shall be divided between 2 sons according to the will after payment of due taxes.

Hello,

The sons(successors) won't be liable to capital gains, that father would be held liable if the sons are not able to invest the capital gain to buy houses.

Income Tax return of the father can be filed by his legal heir.

I hope that this answer satisfies your requirements.

Regards,

CA Hunny Badlani

It can be either of them for the purpose of filing of return and paying due taxes.

Hello Sir,

There would be no tax liabilities on successors.

The tax liability would be on father if the the legal heirs/sons are not reinvest the amount in capital gain exemption schemes.

Any one of them will be the legal heir for the purpose of filing tax return and paying due taxes.

Hi,

- The property sold was in your name therefore capital gain taxability and the exemption for reinvestment would be available to you only. You can reinvest the proceeds by adding your name alongwith your sons in the purchase deed to avail the exemption.

- By just writing a will only will not make you and your sons eligible for exemption.

- After the demise, legal heirs should file the deceased ITR and discharge all the income tax liabilities. Any legal heir can do this.

- You may take phone consultation for detailed discussion.

Thanks

Capital gain would be taxed at same amount as would be taxed in the hands of elderly person the only difference would be that it will be distributed into two parts.

It should be mention in the will of the person, however if nothing is mentioned then the first right is of the wife and then of the children. Both the children will then enter into a mutual agreement that they both are legal heir but one would represent the person before Income tax department and if any liability arises it will be paid by both equally.

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Thank you.

Dear Sir,

No, capital gain would not be taxable in the hands of successors.

The legal heirs would be liable for ITR filing as well as tax liabilities.

Any of the two sons can file the ITR and pay the remaining tax liabilities as legal heir.