Cheque transaction for 30 lakhs
Ajay
(Querist) 17 January 2017
This query is : Resolved
The situation here is receiving a cheque for 30 lakh rupees to my saving account from my father selling his vacant land inherited from his father. I am utilizing this amount to buy an independent house. I would like to know the taxation details which I or my dad might want to bare. Kindly shed some lights.
Guest
(Expert) 17 January 2017
Mr. Ajay,
Asking for solution to your casual query involving such a huge amount without proper details is quite surprising!
So, either your question is of purely academic nature, not being a real problem, or you are not serious about tax implications.
But be aware, if no proper advice is taken from some consultant, both you and your father can be made liable to bear with a huge loss on account of undue burden of tax by not properly accounting the income of Rs. 30 lakhs.
On one hand, you will have to pay tax at the highest rate for the income likely to be treated as windfall income, if not properly accounted for by your father and not shown as gift to you and on the other hand, your father will also have to bear with the tax for short or long term capital gains.
So, at first, better account for the amount properly in to the accounts of both father & son by taking proper consultation from tax consultant before it is too late. Amount of tax will be the secondary issue to be taken care of by the tax consultant after proper accounting of income.
Rajendra K Goyal
(Expert) 17 January 2017
Capital gains tax is to be paid by father in law.
It is a big amount, discuss with your tax consultant.
