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Tax liability

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SHRIRAM

ARTICLED TRAINEE

28 Points Posted on 05 March 2016

Hi I would like to know how to compute tax and under what head on the following case: Mrs X female resident, bank account had been credited with Rs 10 L towards sale of ancestor property by her brothers and they have remitted a portion (10L) in her account. Now how to calculate this income? Shall i consider this under Capital gain or to consider it as IFOS (monetary gift received from relative)

Secondly Mrs.X had transferred 50% of the amount to the bank account of Mr X How to treat the same in the hands of Mr. X Kindly clarify urgent too!

Replies (2)

CA Rohan jain

Sole Proprietor

442 Points Posted on 05 March 2016

Capital gains on the hands of brother. Further gift from bros to u and then by you to Mr X, both nontaxable as its a gift from relative..(Opinion is based on limited facts as in query)

Udgam Koomar

Tax Technologist

2037 Points Posted on 05 March 2016

Is should be treated as Income from Property sales proceeds capital Gains. I know one case where exactly this happened and the return was not filed and the party got notice for non compliance by AIR reporting under head sale of property CG.