My nephew is a member of total 7 legal heirs of an immovable property. We are Hindus and governed by the Hindu Succession Act. The six members have relinquished their respective shares through a registered PARTITION DEED in 2011 in favour my nephew who has been residing in that property . My nephew is not interested in absolutely owning the property and wishes to sell the property and pay to other 6 member the sales proceeds equivalent to their respective shares and for which the other 6 members have agreed. There is no dispute whatsoever. Now, the questions are :
1. What sort of a document is to be executed and registered in order to transfer the respective shares to other 6 members of the family so that when the property is sold, they will get their respective share of sale proceeds.
2. If my nephew sells the proprty which presently in his name and thereafter pays the amount of respective shares to other members of the family, the whether the Income-tax payable on the Long-term Capital Gains get distributed to other legal heirs.
Please furnish your opinion in the matter.
jaggib@hotmail.com
