Sale of house property- query- please reply

see sec 54 of capital gain

for getting exemption the property should be purchase on mother name so that she can get exemption of capital gain

Dear Aditi

1) Mother can claim exemption of capital gain but while calculating capital gain the cost of asset will be the cost in the hands of whom the mother has inherited the property subject to indexation.

2) Also son can claim deduction of interest as well as principle amount of loan if the property is in the name of son.

3) Property shold be in the name of the person who can claim maximum benefit of repayment of principle amount u/s 80C. In other words who has least investment u/s 80C should be the first owner of the property.

The property should be in the name of the mother so that she can avail the benefit of sec 54. U/s 54, Capital Gain is exepmted. Then you can take the loan on the name of the mother so that she can get benefit under house property.