Tax questions on Capital Gains Tax

CGT calculation in case of jv with developer

Dear Sir,/Madam, My grandfather purchased a land in 1952 & build a two stored house in that property. My grand father expired in 1964 & my father became the legal owner. My father passed away in 1983 leaving behind my mother ,myself & my elder sister. My mother passed away in 2010.Now myself & my sister has signed an agreement for JV development with a builder in 2021, in which the developer w...

Capital Gains Tax ( sale of house property)

A flat was booked by me in Nov 2006 and a buyer agreement was executed. As per the agreement the builder was to deliver the flat within 36 months.The payment was linked to construction. But the offer of posession was made in october 2016 after receipt of OC from the authorities. Because o considerable delay a case was filed in the consumer court in 2014 demanding penalty as per the agreement...

Sale of joint property...Splitting of Capital Gains

BACKGROUND: 1. Husband bought a flat in 2005 in Gurgaon with 100% own funds. 2. The flat was then registered jointly in Husband’s plus Wife’s name. 3. From 2011, the flat was rented out…..Even though the flat was in joint name, all the rent was included in Husband’s tax return every month. This was done since the flat was bought with only husband’s own money. Rent in wife’s name would have...

Capital Gains Tax or Business Income on Sale of Property

My Father Purchased a Plot of 5360 Sq.ft in 1995 and made a registered Sale deed on to my name in 06.10.2015. In the Sale Deed of 06.10.2015, 1.26 Crore was the sale amount mentioned in the Sale Deed. However, there was no real money involved as it was a transaction between Father and Son. On 15.12.2017, i have entered in to JDA with a builder and have got 6 flats as part of my share and sol...

Capital Gain claim on selling joint property

I purchased a residential property jointly for earning rental income in 2015. My sister is a joint owner in this property. The property purchase was funded by my Dad who is no more now. Since 2016 we are getting rental income and I am managing the property. For tax purpose, the 100% rental income from this property is declared in my ITR alone for last 3 years since I have been using the entire...

Concerns in Buying a new house

Good day. I sold my 1Bhk flat post 14 years of occupation and brought a 3BHK flat in an under construction property in 2014 on the 42nd floor taking care that the money taxable under capital gains Is invested completely into the new property. During sale the verbal agreement was that the possession would be in August 2017, however when agreement with builder was finally done in 2016 the possess...

Compensation as interest ordered by NCDRC

Booked a flat with a builder in 2010 and he failed to deliver the flat and offered possession after 6-7 years. We had approached the NCDRC and we opted for refund and NCDRC ordered in 2018, Refund of the entire amount with compensation in the form of simple interest @11 (compensation in the form of simple interest ). Is the interest part which is as compensation in this case taxable. We have...

TDS applicability for Property Assignment Case

Case: 1. I (buyer) am buying a ready-to-move apartment in bangalore from seller (Cost excluding registration - 78L) 2. Seller had sales & Construction agreement for this property with builder when it was under construction in Mar-2016 (Sales Agreement - 20L Approx. & Construction Agreement - 60L Approx.). He has deducted 1% TDS for the same against builder. 3. There is only sales & construc...

C g taxon redevelopment project

I have the redeveloped flat in a co op society at kandivali.. Redevelopment project details is as under Date of paa agreement: 13/2/2013 date of possession: 31/1/201615 date of noc: noc not recd yet date og dev agreement : 13/04/2010 Detail of flat area:- old flat new flat total Carpet area sq ft [deleted] Area for s duty cal' n sq ft 1129.[deleted] (purchased) Area in sq m 104.[dele...

Exemption in Sec. 54 F on amount incurred prior to sale of original asset.

(a)I have booked a flat in ₹40 lacs in Feb 2015. And agreement made in Feb 2016. (b)The date of completion of project as per my agreement was in Approx 30 months I.e, in August 2018, but the project is still ongoing and God knows when it will complete. (c) I have made a payment of ₹10 lacs in the year 2015 before agreement and 20 lacs from 2016 to 2017 from bank loan. (d) In between I sold a...

Cost of improvement tobe added in indexed cost of valuartion

I SOLD PROPERTY ON 08/05/2015. After keeping proceeds for stipulated period I am on my way to pay tax.While calculating taxable property,in indexed cost of valuar based price ,I added improvement cost ,viz.addition of stairs in [deleted]/,changes and additions in house at the time of shifting in house on retirement of husband from Govt, house to this house 200000/ in 1996-97, STRUCTURAL CHANGE ...

Joint venture agreement and income tax

1) plot no 01 bought on 22-12-03 for price of 2,22,230 (which includes all costs) - by owner no 1 2) plot no 02 bought on 6-8-04 for price of 2,22,000 (which includes all costs) - by owner no 2 on 27-12-13 both owner no 1 & owner no 2 came in joint venture agreement with builder. for 22.5% & 22.5% total of 45% amount/price from sale of flats/units. other than land nothing is done or p...

NSE Investment under Parents Name - Tax implication and limits

Hello, I am an NRI hence I cannot purchase NSE or any Post office products, my wife stays along with me hence cannot purchase under her name as well. I would like to know if I can purchase NSE (National Savings Certificate) under my mothers and in-laws (Wife Parents). I understand that there is no limit on NSE certificates purchases so they can purchase. Please let me know if there is a cap...

Investment of capital gain of two properties in purchase of 50 % share of residential property

Sir The issue is whether exemption u/s 54 is applicable if one residential property is bought on sale of two properties ( Commercial & Residential ) and what precautions ( i.e drafting purchase deeds ) are to be taken at the time of registration I intend to sell residential property now and sold a commercial property one year ago as per following details {Commercial Property Sold in Sep 2...

Home Loan Repayment

Myself Rahul and my wife Pooja purchase total 4 numbers Residential flats through 4 nos Home Loans and Details are - 1- Purchased 1st 3 BHK 1235 Sq ft through 20 Lakh Home Loan from HDFC Ltd and Home Loan main applicant is Pooja and Co applicant is Rahul but Property is in name of Pooja Only. 2- Purchased 2nd 2 BHK 1220 Sq ft through 26.30 Lakh Home Loan from ICICI Bank Ltd and Home Loan ...

LT Capital Gain Exemption Section 54

Hi We have made an agreement to sell our ancestral house. The property stands in my and my grandmother's name. The sale will entail significant long term capital gains for which we plan to take exemption under Section 54 of IT Act. We plan to purchase a plot and then build a house within one year so Section 54 will certainly be triggered. Both me and my grandmother only own one residential p...

Capital Gains investment in residential property funded equally by daughter.

I purchased a plot in 2005 paying cheque amounting to Rs 65,800. It was registered in January 2015 indicating the said amount as well as the then current (Jan 2015) market value of Rs 18,59,000. Now I plan to sell the said plot after 3 years of registration and if I get some 20L then plan to invest that total amount in purchase of a flat for some 40L where my unmarried daughter plans to invest ...

Capital gain tax benefit without registry and only transfer

Dear Team, My father has sold a plot in Haryana (after 8 years of possession) and now to save capital gain tax, he is planning to invest the gain amount in a flat in Noida with me and my wife as partners. There is a property where the builder has dues towards Noida authority and thus the registry is not being done and the owners have just the possession letter with them. As there is no regist...

NRI selling property in india

HI All, I have a couple of questions around CGT calculations and some procedures. 1. First of all, what is the actual percentage which is to be applied? Mine is a LTCG, over 50 lacs but under 1 cr, so TDS (u/s 195, i think) percentage is 22.88%? Believe me, every site has a different figure. So break up is 20% plus 10% surcharge plus 4 % Ed & health cess makes it 20.88. Is this correct? ...

TDS while buying house from an nri

Hi, I am planning to buy a property in bangalore from a NRI seller. Recently I heard about the TDS that needs to be deducted while buying property from NRI. When I discussed about this with my NRI seller he gave me the below response "According to my CA/lawyer, my tax liability is expected to be much lower because of negative capital gain (actual loss). So he asked not to take TDS, because on...