Sale agreement without notary

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Querist : Anonymous

Querist : Anonymous (Querist)

07 April 2014 I have purchased flate from my father via sale agreement. (on Rs. 100 stamp paper without notary)
Above flate purchased because of saving tax u/s 54F on LTCG.
Can i take exemption still as it is not register by notaral ?
Is it compulsory that sale agreement must be registered by notery for claiming exemption u/s 54F

Gangavarapu Abhilash

Gangavarapu Abhilash (Expert)

07 April 2014 i need little more clarity in this Question as regards:
1. is there really movement of sale consideration from you to your father.
2.Is it being assessed as capital gain income in his hands.

Querist : Anonymous

Querist : Anonymous (Querist)

07 April 2014 Yes. I have given cash to my father for sale consideration

Querist : Anonymous

Querist : Anonymous (Querist)

07 April 2014 Can i eligible to exemption in above case.

Gangavarapu Abhilash

Gangavarapu Abhilash (Expert)

08 April 2014 Yes you can definitely claim the exemption provided the other condition are satisfied such as
1.It is made within the time prescribed in section 54f
2.You have only one other residential house at the time the transfer of asset for which you are claiming sec 54F

Note:
But as you said the consideration is paid in cash, you should be in position to prove the movement of consideration from you to your father if in case asked by the department in future.

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