Income tax implications

Sir,
I am purchasing an office, commercial property in Mumbai. The seller is member of the Registered Society. There are unauthorized tenants inside the premises and the seller got around 150 sq.ft in his possession. The seller is selling this 150 sq.ft as is where is basis. My doubt to be clarified is -
 
a) Whether I need to pay stamp duty for the entire area of 500 Sq.ft or only for 150 sq.ft?
 
b) The seller is taking 25 lakhs, however the Market Value as per Ready Reckoner is 150 lakhs. If, Stamp duty will be paid on 150 lakhs, what's the Income Tax Implications to both the buyer as well as the seller?
 
Thanks in advance.

 
Replies (1)

If your agreeent specifies 500 sq. ft., all the liability will arise over that area.........

But contact a lawyer, who will get you 'encumbrance certificate' as well as 'valuation certificate'  of the encroached property, based on which you will have a stand to justify your deal....

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
26 September 2026
Chartered Accountant

pushpganga ventures

Pune

CA

View Details
Company
14 October 2026
GST & TDS ASSISTANT

AGGARWAL SANJAY & ASSOCIATES

New Delhi

B.Com

View Details
Company
14 October 2026
Asst. Manager/Dy Manager (Costing)

manufacturing

Pune

CMA

View Details
Company
ARTICLESHIP 17 October 2026
Articled Assistant

RRPM & Associates LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 22 October 2026
Articleship intern

Srinath Manikanta

Hyderabad

CA Inter

View Details
Company
Featured ARTICLESHIP 06 October 2026
Semi Qualified

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
ARTICLESHIP 08 October 2026
ARTICLE TRAINEE

S.B.G. & CO. CHARTERED ACCOUNTANTS

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 07 October 2026
Article Assistant

Malhotra Rajesh & Associates

New Delhi

B.Com

View Details