Claim of capital loss in case of Gift

This discussion explores whether an individual can claim a capital loss when transferring a property to their spouse for a significantly lower amount than its purchase cost. The core question revolves around whether such a transaction, when considered a gift due to inadequate consideration, qualifies for capital loss relief. It delves into the tax treatment, specifically if it's viewed as a sale with capital gains tax implications based on stamp duty valuation, and whether Section 47(iii) of the Income Tax Act affects this treatment.