Capital Gain query
Residential Property jointly owned by Husband & Wife 50:50 share, selling after 3 years in July 2025.
Say Sold for 2.5Cr. Purchase was for 2Cr. Capital gain 50L, Capital gain tax 12.5% without indexation = 6.25L (12.5% on 50L)
Reinvesting all:
Buying new residential property for 3Cr with 3 owners, husband, wife & adult son – equal ownership share each.
1. Now how to show this in ITR, how to take exemption u/s 54 in IT.
2. How the payments be made for purchase. (can full amount be paid by parents or Son has to make payment for his share as he too is going to become 1/3rd owner)
3. Is it allowed under income tax rules for parents to sale property and buy other property with new joint owners, and claim exemption u/s 54.
4. If Parents will reinvest whole amount of 2.5 Cr to avoid any Capital Gain Tax, is it okay that Son pay balance Rs.50L in new property but remain equal owner ie 1/3rd owner of new property? What will be tax implications for him?
Experts please guide.
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