Income Tax Question - Give a try

Tax queries 509 views 4 replies

Rachit

Analyst

913 Points Posted on 23 March 2010

X has now paid stamp duty & registration charges to the tune of Rs.50K for his flat which was purchased by him way back in the year 1980. No amount was paid as stamp duty then. Now, on account of amendment in the Bombay Stamp Act, he has been assessed to pay an amount of Rs.50,000/- as stamp duty. This payment has been made by him under the Abhay Yojna (Amnesty scheme) launched by the Collector of Stamps, MMRDA.

In such a scenario, is X eligible to claim deduction u/s. 80C on the amount paid as stamp duty and registration charges ?

Replies (4)

shushantsinghal

BCOM(HONS) C.A

283 Points Posted on 23 March 2010

YES .......X WILL ALLOW TO TAKE BENEFIT U/S 80C ONLY WHEN FLAT IS IN THE NAME OF MR .X AND HE WILL NOT SOLD IT IN NEXT 5YEARS & RECEIPTS MUST BEAR THE NAME OF HIM WITH FLAT ADDRESS'

Guest

Originally posted by : shushantsinghal
	YES .......X WILL ALLOW TO TAKE BENEFIT U/S 80C ONLY WHEN FLAT IS IN THE NAME OF MR .X AND HE WILL NOT SOLD IT IN NEXT 5YEARS & RECEIPTS MUST BEAR THE NAME OF HIM WITH FLAT ADDRESS'

agree with sushant

rama krishna

finance manager

36 Points Posted on 09 June 2010

80 C covers "repayment of housing loan" as a tax saving instrument, as far as housing related item is concerned. moreover 80 C is a tax saving section on investments made, but not on payments made in the course of incidental requirements especially under the given situation. so.. I hope 80 C will not cover this situation.