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Buying property on spouse name without loan

Tax queries 467 views 3 replies

Hemant

Service

50 Points Joined December 2009

Hello,

We are residing at Pune, Maharashtra.

My husband is currently selling his property which is solely on his (Hemant) name. We are thinking to buy new property (in same cost, no loan) on joint name (my [housewife] name first and his second).

Do you see any tax implications for my husband or me? We are not going to take any loan.

Note: My husband is only earning member in our family.

What are advantages and disadvantages of it?

Thanks in advance,
Purva

Replies (3)

Tribhuvan Aditya Singh

Student as well as Self-employed

3710 Points Joined September 2007

selling of property will be subject to capital gain but exemption under section 54 can be claimed for the new property bought. it is not necessary to buy property in name of your husband only. the new property can be in your name or jointly on both names.

Mihir

Wealth Manager

5293 Points Joined December 2008

Yes, he may sell the property and buy a new one in joint names and claim exemption from LTCG.

harshita kushwah

articled trainee

58 Points Joined May 2014

hey, if you want exemption of whole amount of capital gain under section 54, then new property should be bought in husband's name and he cant transfer the property for a period of 3 years after purchase.... otherwise exemption will be withdrawn.