Capital gain tax on property purchased by parents
This query is : Resolved
10 February 2013
Dear Sir,
My father had purchased a flat in my name when I was unmarried and 19 year old in the year 1989. The purchase cost was Rs 50,000/-. Subsequently he incurred expenditure of Rs 10,000/ in the year 1990 towards improvement of the flat ( ie installation of water tank, plumbing, furnishing work etc)
Thereafter he has sold the flat in august 2012 @ Rs 9lac. The registration papers were signed by me as it was in my name and the payment was also received by me through cheque in my name and was deposited in joint a/c ( in my father's name and my name). The same was withdrawn by my father.
Kindly clarify following points and oblige.
1. Who is responsible for payment of capital gain tax . Me or my father ?
2. In case I am responsible for tax payment , is there any way by which this responsibility can be shifted to my father?
3. Pl intimate the amount of capital gain tax.
4. Pl also intimate by when capital gain tax can be paid and applicability of interest if any?
Regards
Mrs Agrawal
My father had purchased a flat in my name when I was unmarried and 19 year old in the year 1989. The purchase cost was Rs 50,000/-. Subsequently he incurred expenditure of Rs 10,000/ in the year 1990 towards improvement of the flat ( ie installation of water tank, plumbing, furnishing work etc)
Thereafter he has sold the flat in august 2012 @ Rs 9lac. The registration papers were signed by me as it was in my name and the payment was also received by me through cheque in my name and was deposited in joint a/c ( in my father's name and my name). The same was withdrawn by my father.
Kindly clarify following points and oblige.
1. Who is responsible for payment of capital gain tax . Me or my father ?
2. In case I am responsible for tax payment , is there any way by which this responsibility can be shifted to my father?
3. Pl intimate the amount of capital gain tax.
4. Pl also intimate by when capital gain tax can be paid and applicability of interest if any?
Regards
Mrs Agrawal
29 July 2013
1. It is you
2. No
3. Rs. 1,16,485/-. The cost is to be taken at 60,000/- and to be multiplied by 852 and divided by 161 to find out the present index cost. The index cost comes to 3,17,515/- which is to be deducted from 9,00,000/-. If you have paid any brokerage for selling the property then the same is to be deducted.
4. If nothing has been paid then it should be paid before you file the return for the assessment year as the last date for filing of the return for 2013-14 is due by 31st August, 2013. If you have no other income then this tax will be reduced provided you send me the details of your income I shall be able to give you the correct figure for tax and interest. You can send the details to ssunderagarwal@gmail.com
2. No
3. Rs. 1,16,485/-. The cost is to be taken at 60,000/- and to be multiplied by 852 and divided by 161 to find out the present index cost. The index cost comes to 3,17,515/- which is to be deducted from 9,00,000/-. If you have paid any brokerage for selling the property then the same is to be deducted.
4. If nothing has been paid then it should be paid before you file the return for the assessment year as the last date for filing of the return for 2013-14 is due by 31st August, 2013. If you have no other income then this tax will be reduced provided you send me the details of your income I shall be able to give you the correct figure for tax and interest. You can send the details to ssunderagarwal@gmail.com
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- ADVANCE PAYMENT OF ADVOCATE
- DIN reactivation
- Query – TDS on purchase of land from NRI under Income-tax Act, 2025
- TDS Return Q1 FY 2026-27
- GST rate and HSN code for sale of racing horses
- CREDIT NOTES WITHOUT GST
- Eway bill generation from place other than registeted
- UNWANTED CREDIT BALANCE OF GST AS PER BOOKS
- Condonation . E-Verification of last year return .
- Depreciation of fixed assets- coop housing society in mumbai
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
