PROPERTY SALE WITHOUT ANY AGREEMENT

Save Share

This query is : Resolved

Quick Summary

A client purchased land in partnership with a friend, but no formal agreement or deed was established. The property is registered solely in the friend's name. The client now wishes to sell the property and wants the sale proceeds transferred to their bank account, despite not being the registered owner. The core issue is how to legally treat this income and provide evidence of the partnership, especially if the transaction is scrutinised.

raghavendra b

raghavendra b (Querist)

31 March 2022 DEAR SIR,

ONE OF MY CLIENT PURCHASED A LAND BY PARTNERSHIP BUT NOT ENTERED ANY PARTNERSHIP DEED OR AGREEMNT JUST BY FRIENDLY AND WITH FULL FAITH. NOW HE WANTS SELL THE PROPERTY THE PROPERTY HAS BEEN REGISTERED IN THE NAME OF HIS FRIEND. NOW MY QUERY IS WHEN SELL THE PROPERTY THE AMOUNT WILL TRANSFERED TO MY CLIENT BANK ACCOUNT THE PROBLEM IS HE IS NOT A PROPERTY OWNER BUT HE WILL RECEIVE THE AMOUNT OF SOLD PROPERTY. HOW TO TREAT THIS INCOME OF MY CLIENT THE AMOUNT WILL BE SHARED AFTER THE SALE OF THE SAID PROPERTY.

PLEASE GUIDE ME

REGARDS

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

31 March 2022 Oral partnership is valid. Have documentary evidence for joint investment in the property.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

31 March 2022 Oral partnership is valid. Have documentary evidence for joint investment in the property.

raghavendra b

raghavendra b (Querist)

01 April 2022 thank you for your replies,

but how prepare evidence for the partnership because long back they have purchased the property in single name and payment received by another one account in this situation how to execute the deed between them when sold the property on that day can be executed the deed but days have gone in case the transaction if selected for scrutiny how to prove the evidence.

thank you sir and your guidence much needed

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

01 April 2022 Is there any evidence for payment by both the parties.
Property should have been purchased in joint names.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now