Long term Capital Gains tax query

The Act merely states that investment should be made by the person who had realized capital gains. It does not stipulate that it ought to be invested only in his name, to the exclusion of all. Hence your investment in the joint names of yourself and wife, is valid and would be considered as proper investment in tune with section 54.

you are not liable for capital gain tax laibility as the cost of the new house is more than the capital gain originated hence whole of the capital gain is exempted as per sec 54...but only if the new property is purchased within 2 years from the date of transfer and if constructed then the construction should get completed within 3 years from the date of transfer.

Still , I guess we need an answer which clearly mentions whether he will be able to evade the entire Tax Liability of Rs. 34,65,000 if he purchases the new house for Rs. 42,00,000 jointly in his &his wife's name or whether it would be necessary for him to clearly stipulate in the Purchase Agreement for the new House , his share for Rs. 34,65,000 & his wife's share of Rs. 7,35,000 to completely evade the Capital Gain Liability .

Hello,     my mother is going to sell a house in sringeri for Rs 30 lacs in december 2010, which she had inherited from her mother in 1996 after her mother died throgh will. and  the said property was transfered from her husband somewhere in 1950. this  property is 150 yrs old.  my mother  is  thinking of gifting  the entire amount to her children i.e me, brother and sister.

How do we calculate the Cost of acquisition of this house property? Does she have to invest that amount in another house property just to avoid tax  and  then gift the property to her children?  I want to know  how to calculate  the capital gain in this regard?  what will be the tax payable  if the entire amount is not invested in new property? please help me regarding this topic at the earliest.(fair market value as on 1981 was Rs2,24,000/-(140*20*Rs80).