17 March 2018
Sir,Any amount paid to sister or brother against the ancestral property will the capital gains arises in these family arrangements. If it is exempt under which section it is exempt.
17 March 2018
Assessee father has expired and amount is paid to sister towards the share in land would this transaction amounts to capital gains or not. Otherwise it has to be consider under family
arrangements and exempt if exempt under which section
17 March 2018
After the death of the father, the property becomes the common family property. Any settlement or giving up of ownership by one family member for the benefit of other family member is not considered as a capital asset transfer. Capital gains will not be applicable here
18 March 2018
actually my mistake. Sai. You can refer to the following cases that cover facts of your case:
1. B.A. Mohota Textile Traders Pvt. Ltd vs. DCIT (Bombay High Court)
2. Commissioner of Income Tax vs. A. L. Ramanathan, 1998 (Madras High Court)
and also refer to this article for detailed discussion on family arrangement related tax issues https://taxguru.in/income-tax/family-arrangements-taxation-legal-aspects.html
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