Divyansh (Student CA Final ) (48 Points)
20 February 2013
hello,
If a person sale out his residential house property, can he purchase a flat from his father to claim exemption u/s 54 or can he purchase a part of flat from his father to claim exemption u/s 54
Dhawal Mohnot
(Practicing)
(449 Points)
Replied 20 February 2013
In my view.
There is nothing in law which prohibits this, but the points below is to be considered before doing this.
1. The consideration has to be adequate (It has to be the prevailing market rate)
2.To see the implication of sale of property in the file of father. Let us wait for views of expert as well.
CA Prashant Gupta
(DGM (F & A))
(14068 Points)
Replied 20 February 2013
agree with Mr. Dhawal
sec 54 doesn't put any restriction on that
please refer
/articles/a-quick-glance-on-exemption-from-capital-gain-16450.asp#.USSlJfJ480M
CA Aditya Lahoti
(Chartered Accountant)
(380 Points)
Replied 20 February 2013
CA Deepak Rathore
(EXPERT)
(281 Points)
Replied 23 February 2013
yes difinitely,
provided that there is no unreasonable payment between son and father
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