share in property
Kahera (unemployed) (41 Points)
07 April 2017
if a person receive his share from parents property (I.e cash) so how to show it in ITR .is it taxable or exempted.
Abhimanyu
(CA)
(316 Points)
Replied 07 April 2017
Thanks for the query Kahera,
Property received in such a form may not be taxed since, income tax is tax on income not transfer of property.
The question that would arise is "Why the property was transfered?"
In case it is property was transfered just because of him being the legal heir, there will not be any question of tax.
However, keep in mind that if in case any income tax was payable and not paid on the earning which led to the generation of the property transfered, might be required to be paid by the legal heir, according to the act.
In case of any query, please revert.
Thanks,
Abhimanyu
Kahera
(unemployed)
(41 Points)
Replied 07 April 2017
Abhimanyu
(CA)
(316 Points)
Replied 07 April 2017
Thanks for replying,
No need to mention it in taxing column, however depending on the ITR you are filing it may be required to mention the receipt of the same for Balance sheet purposes only.
It is not income of legal heir, it is just property no income tax on this.
Thanks, if any issue please do write back,
Abhimanyu
CAclubindia
