My wife (79 years old) has sold a property for Rs. 48.50 lakh in Feb 2021, out of which She wants to give Rs. 25 lakhs to her daughter and purchase property for remaining amount.
To save tax, She has been advised to invest Rs. 25 lakhs in REC Bonds for 5 years.
Following points are not clear for filling REC bonds:
Q. Names of 3 applicants are to be filled in, out of which first name shall be of my wife. Should the second name be of my daughter so that Rs. 25 lakhs may go to her in case of demise of my wife?
Q In the above case, whose names are advisable to be filled in for IIIrd applicant and who should be the nominee?
Q. In case of demise of my wife, how the bonds will be transferred to my daughter?
Q. Who will get annual interest in case of demise of my wife.
Q. In case my wife remains alive till maturation of bonds, how will my daughter get Rs. 25 lakhs?
CAclubindia
