Tax implications on tenancy to ownership conversion

Hi,

My office is a tenancy premise (Commercial) under the landlord since 1957 (Also known as Pagdi System in Mumbai) under the Rent Control Act.

I am also a Partial Landlord of the building where my office is (Landlord is a partnership firm with 3 equal partners)

 I would like to convert my tenanted premise (commercial office) to an ownership property (Owner remains the same) (all the Landlord partners are willing to agree)

What will be the tax implications considering that the owner remains the same? will this be considered a transfer?

Thank you,

 

Replies (3)
there won't be any tax implications as you yourself wud continue to be the owner of the premises.however the consideration that you wud pay to the p'ship firm wud be taxable as capital gains in the firm's assessment

Thank you for the quick response.

 

your most welcome

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
11 August 2026
Manager / Senior Manager - Statutory Audit

CommerceCareer

New Delhi

CA

View Details
Company
ARTICLESHIP 01 September 2026
Article Assistant

SGNG & Associates

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 17 August 2026
Article Assistant

Jain Ankit and Co

Gurgaon

CA Inter

View Details
Company
25 August 2026
Senior Accountant

MG Associates

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 08 August 2026
CA Articleship

RSAG & CO LLP

New Delhi

CA Inter

View Details
Company
18 August 2026
Audit Assistant - Remote / Work From Home

CA ANOOP P K & ASSOCIATES

Kozhikode

CA Inter

View Details
Company
ARTICLESHIP 29 August 2026
Article Assistant

RRPM & ASSOCIATES LLP

Chennai

CA Inter

View Details
Company
17 August 2026
Chartered Accountant with US GAAP Experience

Austin Med Solutions Pvt Ltd

Bengaluru

CA

View Details