AJIT MUMBAI (ENGINEER) 26 February 2014

Capital gain

Please note that my son, presently working in USA, wants to buy an apartment in Mumbai. He is going

to take NRI home loan from ICICI. I will be co-applicant/co-borrower for this deal. Can I sell my present

apartment, in later stage, and use that money to repay the said loan? Can I get exception under "Capital

Gain"?

Please assist.

Ajit Rane

Vineet (Director) 03 March 2014

You can define your share in the new house with your son. However, since it is NRI Loan, it really be difficult to show your ownership in the flat.

If you could really do so, you can sell your existing house within one year and repay the loan. You will be eligible for exemption u/s 54.