Hi, This is Sivaji from agartala. my mother has a land recorded in her name. we have a building on this land. if we sell this property right now the expected price we can ask from the buyer is 45 lakhs. over it i have to pay 6.5 percent stamp duty+registartion fee to sub registry office. my mother bought this land in the year 1988. as a govt. officer i wil have to inform my deptt. in writing that thsi proprty is being sold. my mother wants to gift me the sale processd. now what are the taxes and what is the total value i have to pay as income tax/capital gains tax or any other tax to be on legally safe side as i am a govt officer. can i pls be advised on it. regrsd- Sivaji
Hello Sivaji,
In order to inform you about the Capital Gain tax that is to be paid by your mother on sale of property I shall need the government valuation of your property as on 01st April 2001.
Trust this clarifies your query.
Feel free to call / get back in case of further clarifications.
Thanking You.
Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP
Hi,
Yiubhave to get the property valued as in 1 April 2001 and then that valeb will be indexed and indexed value will be deducted from the sales consideration to arrive at capital gain.
Yes, Your mother can gift you the money. Please make sure to enter into a gift deed and disclose that amount in your ITR.
Hi Sivaji,
Your mother will have to pay tax on the capital gain arising to her. Capital gain will be the difference between the net sale consideration and the indexed cost of acquisition of the property. The indexed cost of acquisition will depend upon the value of the property as on 1 April 2001.
The money which your mother gifts you, will be exempt.
Trust this clarifies.
Regards,
Keerthiga Padmanabhan
M.Com., CA, LLB
