Capital gain tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

09 January 2015 Hi Experts,

My sister had acquired a property in 2000 for 2 lac and now she is gifting the property to me for no consideration. The current value is 30 Lac.

1.)Does my sister have to pay any capital tax?

2.)If I sell the property before 36 months of getting the gift deed will I fall in 20% tax bracket or 30% tax bracket.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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09 January 2015 1. For gift to relatives no tax is payable.
2. If you sell before 36 months still it will be treated as long term capital gain and indexation benefit is available from the date of purchase of your sister.

Querist : Anonymous

Querist : Anonymous (Querist)

20 January 2015 If my sister sells the property directly and then she gives me the cash as gift and I reinvest it on another property.

Will she still be responsible to pays the 20% capital gain tax or I will become responsible for it.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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20 January 2015 In such a situation she is responsible to pay 20% capital gain tax.
To avoid capital gain she can buy a property out of sale value and gift it to you.

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