A person who is 72 years old sells his only house in Chennai. His monthly pension is Rs.7,000/- and he has no other source of income. He is not an income tax assessee. He sells his house for a consideration of Rs.1.30 crores to a flat promoter and in addition to it receives a 2BHK flat in the same place. He has three sons and a daughter and all of them are married. What are all the best possible options available to him in order to reduce/avoid tax.
In case, if he divides the money equally and gives them to his children without paying capital gains tax, what will be the tax imapact in the hands of the receipients and in his hands.
11 October 2011
With this information, we cannot provide tax planning advise to you. Provide the following information to compute capital gains and exemptions: When was the sold property purchased? year of purchase? cost of acquisition? any improvement(construction)? whether purchased or inherited? year of sale? Cost of the new property?
A person who is 72 years old sells his only house in Chennai. His monthly pension is Rs. 7,000/- and he has no other source of income. He is not an income tax assessee. He sells his house for a consideration of Rs.1.30 crores to a flat promoter and in addition to it receives a 2BHK flat in the same place. He has three sons and a daughter and all of them are married. What are all the best possible options available to him in order to reduce/avoid tax.
In case, if he divides the money equally and gives them to his children without paying capital gains tax, what will be the tax imapact in the hands of the receipients and in his hands.
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