Sale of shares by mother to son

Some Points Need To Keep In Mind.

(1) When you sell from your mother account at a time you are buyer in equity terminal board.

(2) If investment Period below one year short term capital gain tax applicable.

(3) When you sell share from mother account then you have to give trade for pay in / pay out process to demat company.

But I suggest you one easy , safe and cheapest way.

Why you not take share as a gift from your mother ??

As per income tax law blood relation gift transaction is tax free and also you have not to pay any brokerage for any transaction. You just buy one rs. 50 stamp prepare a gift agreement between you and your mother. Than give trade to Demat  company for transfer. This is best and safe and cheapest way as per my knowledge.

Sudip Raja

Financial Consultant

M. 9427721997