please kindly
help me and solve my query
please
thanks in advance
case:
my grand father acquired land of 720 sq yards on 12.16.1974
who died in 2001 without tranferring the propert neither to my father or my fathers sister
my father have totally two sons and one daughter who are all majors and unmarried
my fathers sister have two daughters all majors and married
my fathers sister got married before 1980's
so she doesnt have any share in property
all that she have is rights to restrict us to sell
some how we got her acceptance and asked her to release her right
so that we can enter into developement agreement
my doubt is whether it is benfitable if the right is transferred to my father only or to me, my brother, and my sister so that i could save tax.
PROPERTY DETAILS :
LAND : 720 SQ YARDS
MARKET VALUE RECENT (PER SQ YARD) : 2500
TOTAL MARKET VALUE : 2500 x 720 =1800000
FMV AS ON 1.4.1981: NEGLIGIBLE
NOW THE LAND IS TO BE GIVEN FOR DEVELOPEMENT( CONSTRUCTION OF APPARTMENT)
TOTAL FLATS THAT WILL BE CONSTRUCTED:10 FLATS
OUR SHARE : 4 FLATS
TOTAL NUMBER OF SFT = 4FLATS x 1400 SFT =5600 SFT
TOTAL VALUE = 5600 SFT x 1000 RS PER SFT =56,00,000 RS
WHICH WE ARE GOING TO RECEIVE AFTER 2 YEARS WHEN WE ARE GOING TO SELL THEM
AFTER TWO YEARS WHEN WE SELL
AMOUNT RECEIVABLE IS : 4 FLATS x 1500000 RS = 60,00,0000 RS
AND WHEN I AM ENTERING INTO THE DEVELOPEMNT DEED IT IS CONSIDERED AS TRANSFER AND I HAVE TO PAY TAX. RIGHT NOW I AM NOT IN A POSITION TO PAY SUCH HUGE AMOUNT. SO I WANT TO EXTEND THE TIMING OF TAXABILITY .
PLEASE KINDLY HELP ME IN WHAT WAY I COULD REDUCE MY TAX LIABILITY , EXTEND THE TIMING AND INVESTMENT PATTERN.
CAclubindia
