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Property tax implication

476 views 2 replies

lexbery

227 Points Posted on 09 March 2013

i have bought a new flat,for which all the payments have been made from my personal account,,i want to make my son 50% owner in my new flat,i want to know how to do under two circumstances: 1.if property is yet to be registered. 2.if the registry of the property is already done in my name. also mention the tax implication under both circumstances and least expensive way

thanks

Replies (2)

CA.D.RAGAVAN

CHARTERED ACCOUNTANTS

219 Points Posted on 10 March 2013

If the Property has not been registered yet, Include Your Son as another half owner of the Flat.

If the Property has already been Registered, I doubt transfer of Part of a Flat is admissible in the Registration Act.

Tax Implications : As a Gift by parent to a Major Child is exempt and not invite any trouble from Taxation

lexbery

227 Points Posted on 11 March 2013

addional query:

if the property not yet registerd:

do i have to transfer 50% of the flat ammount from my sons account and withdraw equal ammount of my share to make him co-owner??which ways are u suggesting to make him co-owner?

if property already registerd:

u are suggesting GIFT as the onlty option right?,i shall not transfer if gift is tax neutral and easy option.

if i gift him 50%,is it revocable in future by me??