Tax on property purchase or sale [Resolved]

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

07 March 2014 ORIGINAL PURCHASE VALUE OF A PROPERTY LOWER THAN THE GOVT. MARKET PRICE. IS THE DIFFERENCE AMOUNT TAXABLE? WHAT IS THE EFFECT AGAINST THE SELLER OR PURCHASER. GIVE THE SUGGESTION TO WAIVE THE TAX BOTH SIDE.

Nikhil Kaushik

Nikhil Kaushik (Expert)

07 March 2014 the govt valuation shall be considered as consideration. thus the additional value shall be taxed in the hands of the seller.

the difference between the market value and the purchase value, where difference is more than 50 thousand, shall be taxed as other incomes in the hand of the purchaser under section 56(2)(vi)(b)

Querist : Anonymous

Querist : Anonymous (Querist)

14 March 2014 what is the calculation in the case of a promoter

Nikhil Kaushik

Nikhil Kaushik (Expert)

14 March 2014 what?????????????????????

Querist : Anonymous

Querist : Anonymous (Querist)

14 March 2014 if a promoter sale a flat below market price then what value is considered i.e market price or sale price.what is the effect seller and purchaser

Querist : Anonymous

Querist : Anonymous (Querist)

14 March 2014 if a promoter sale a flat below market price then what value is considered i.e market price or sale price.what is the effect seller and purchaser

Nikhil Kaushik

Nikhil Kaushik (Expert)

14 March 2014 you mean developer i believe?

Querist : Anonymous

Querist : Anonymous (Querist)

15 March 2014 yes, u r right ......................

Nikhil Kaushik

Nikhil Kaushik (Expert)

15 March 2014 for him its business income...it doesnt get covered under capital gains.

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