A mother gifts a residential property to son.
after few years son gifts 90% share of the above residential property to his wife.
now suppose if that property is sold then the capital gain received from the sell would be in whoose hands
Mother - the original gifter
or her Son - as the gift was given to wife
or 90% of Daughter in law and 10% of Son
Thanks for reply.
1. since the asset is property , means the receiver of gift has tax liability
2. but the section is for husband and wife. what is the gift is between mother - son
1. Asset be it money or property, in case of gift between specified relatives, the transfer is taxfree.
2. Husband is gifting 90% to wife in your question sir. so clubbing applicable at the time of sale of property. Capital gains will be taxable in the hands of son even when the legal owners are son and daughter in law.
mother to son transfer - is taxfree
Rgds
CA. Raj Doshi
R C D & Co.
Chartered Accountants
Kandivali West,Mumbai
CAclubindia
