Syed Chennai (student) 29 October 2016
Dear sirs,
I am planning to buy a flat. I will be getting the money as gift from my father's brother. He is a taxpayer, and he will be giving me all white money as gift. I found that this money is not taxable under IT act section 56.
I may or may not repay him. So I am getting it as a gift.
But after I buy the flat (fully in my name), will the government look at this as a benami transaction?
Please advice on this.
Ms.Usha Kapoor (CEO) 30 October 2016
You are investing the money you got as a gift from your father's brother who comes within the definition of specified relative is fully exempt from gift tax both in the hands of donor and donee. If you invest this gift money in buying a single house for self occupation you'd not be subject to capital gainst tax or gift tax. However you rent out the proposed flat to others and derive income as rental income you would be liable to gift tax.If you appreciate this answer please click the thank you buttonon this forum.Also in the alternative you' be laible to income from house property.
Kumar Doab (FIN) 30 October 2016
The donor may adjust the amount in his capitol.
The donee may adjust the amount in his capitol.
Preferably get the gift in writing.
Further consult you tax consultant also.
A walk alone (-) 31 October 2016
© 2024 LAWyersclubindia.com. Let us grow stronger by mutual exchange of knowledge.
