Capital gains on sale of residential property
Jasgun Singh Chopra (senior) (48 Points)
15 October 2016Jasgun Singh Chopra (senior) (48 Points)
15 October 2016
Vishal Goel
(Chartered Accountant)
(1693 Points)
Replied 24 October 2016
Hello..
Answer 1) You have to buy only residential property to save tax on capital gains arising out of sale of any other property. Means you cannot buy land or commercial property to save capital gains tax..
Vishal Goel
(Chartered Accountant)
(1693 Points)
Replied 24 October 2016
Answer 2) The amount of sale consideration would be distributed in proportion to investment made by each one of you & capital gain tax worked out accordingly.
Answer 3) If you purchase a residential property in joint names in the same proportion, within two years of the date of sale and the amount of capital gain is utilised for the purchase of a new residential house, then the amount of capital gain would not be chargeable to tax.
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