Capital gain
Brij Mohan Gupta
(Querist) 09 April 2012
This query is : Resolved
ajay have purchases a plot on 25/06/2009 of rs. 1650000.00 and ajay expire in sep 2010, now his 3 son have decided to sold the plot today in rs. 2400000.00, capital gain will be charged ? the all three son income nil in f/y 2011-12 & in 2012-13 aprox. Rx. 75000/- each.
kindly calculate c/g
Nadeem Qureshi
(Expert) 09 April 2012
Dear Mr. Gupta
wait and watch, may be some other Ld. Member give answer of your query
soumitra basu
(Expert) 09 April 2012
The sale proceeds shall be considered not on the basis of value to be received but on the registered value.
It is advisable to sell the property after June, 2012 to avail the facilities of long term gain.
All the legal heirs shall have equal right over the property and such gain shall be distributed between all the heirs. Yes, the legal heirs shall get the benefit of maximum amount not liable to tax.
A V Vishal
(Expert) 09 April 2012
First of all, any transfer of a capital asset under a gift or a will does not attract provisions of capital gains tax. In other words, you cannot be asked to pay capital gains tax just on account of the fact that you have inherited a property. However, don’t for a moment think that the Income Tax Act will let you get away. If the inheritor were to eventually sell the property, capital gains tax would come in the picture.
The cost and the date of acquisition to calculate this capital gains tax are to be taken as that of the “the previous owner”. For example, if you have inherited the property from say your father, you will have to adopt the cost that your father paid originally when he first purchased the property.
Further, Since the property is acquired only two years back it will attract Short Term Capital Gains, hence follow the advise of Mr Basu.
C. P. CHUGH
(Expert) 10 April 2012
Rightly advised by Mr Basu and Mr Vishal. Wait till June 2012 otherwise you may be un-necessarily burdened with addittional tax liability as Short Term Capital Gain.
From the details availble your capital gains could be maxmimum 7,50,000.00 (2400000-1650000) and that too to be shared by three heirs each having a share of 250000.00 As each one of them is claiming to have income of Rs. 75000.00 for 2012-13 their total income would be 325000.00. If none of them is a Senior Citizen and none of them claims deduction under chapter VIA, even then the total tax payable would be (325000-200000)*10% i.e. 12500+Cess for each which is not a substantial amount to wait till June. The resultant relief of Long Term Gains would be too less to wait for.
You may decide accordingly.
