My Mother-in-law (aged-65) sold her 20 year old house for 40L and buying new under construction property for 60L which will be completed in less than a year. however she is not having additional capital of 20L for new purchase so she wants to buy property jointly with her married daughter who will contribute rest of the 20L through bank loan. I've two questions on this proposition. 1. Is this joint purchase possible considering above scenarios? 2. Can we make joint property on 50:50 basis where Mother-in-law will invest 30L & daughter will take 30L loan? the remaining 10L with mother-in-law will be used for construction improvement, interior , repair work etc. before completing 2nd year of capital gain. is this possible? and will it exempt 40L under Sec.54F? Thanks for you advise.
Thank you Lakshita, Vijaya Kumar & Abhishek for your advice. Based on your response, I may need further suggestion on below points 1. We need to Derive actual Indexed price on which CG tax is getting calculated and invest only that amount in next purchase. 2. To Derive actual Indexed value, i guess I need Old House purchase value considering FMV in 1996 when the independent house was actually constructed on purchased land, old sale deed has only land purchase value. How can I get FMV for old house (1996) which will be declared as purchase value of old house ? 3. I'm using CG calculator which are available on internet to derive Indexed value, can I just declare the indexed value derived from calculator in my submission to government? or do i need to obtain any certificate for indexed price? 4. Mother-in-law who was homemaker all time, does she needs to file IT return in 2017-18 to show Capital gain from property? or any other CG related submission to government? Once again Thank you for your help.
Thank you Vijaya KUmar & Shiv Kumar for your inputs. From where I can obtain actual Capital gain value out of sale proceeds as well as indexed cost of acquisition as of 01-Apr-2001? Which government office I need to reach to get these details. Thank You