Dear Sir/Madam,
My father wants to sell his house (held more than 20 years), and buy another house in my mother's name.
To get long term capital gain tax exemption, we found that the new house should be bought in my father's name only.
So we thought, that my father can gift the old house to my mother, and then she can sell it, and buy the new house in her name.
Will this attract any short term or long term capital gain taxes (that cannot be exempted by the new property purchase)?
Are you from Maharashtra? what is stamp duty to be paid for gifting to mother?
Otherwise very good idea, no capital gain liability to arise, if new house purchased in stipulated time.
Sir,
I am from Tamil Nadu. Here stamp duty is 8%
Please check the correct position, because Gift Deed and Settlement Deed in favour of family members out of love and affection without any consideration related to a Immovable Property in Chennai (Tamilnadu) is 1% of the Market Value to the maximum of Rs.25000/- and the Registration Fee is Rs.4000/-
CAclubindia
