Stamp duty & Registration deduction u/s80c property transfer

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

15 March 2011 Stamp duty & Registration expenses qualify for deduction under clause xviii(d) of subsection 2 u/s 80C of Income Tax Act, 1961

I have paid stamp duty for transfer of a residential house property from my mother as deed of Gift.

Please guide me whether I will get the exemption on the above stamp duty paid for the deed of gift under 80C. The transfer of property from my mother to me as a gift has been done & the stamp duty has been paid by me.

Please help

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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15 March 2011 In my view, stamp duty paid in connection with purchase or construction of a house is eligible for deduction under clause xviii(d) of subsection 2 u/s 80C of Income Tax Act, 1961.

Further, payment of stamp duty should be for the purpose of transfer of such house property in your name.
On the basis of Section 47(iii) any transfer under a gift or will is not regarded as a transfer.

The duty paid by you is neither for purchase nor for transfer of the property, Hence it is not deductible U/s 80C.