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TAX on sale of Property

Tax queries 259 views 3 replies

Akash

proprietor

82 Points Posted on 02 January 2021

Dear Experts,

Greetings of the day!

One of my client has got the money (14 Lac) from his father after sale of the parental property. The property was in the name of the Father. Firstly the cheque of sales money was in the name of the father. Father then paid their share directly into account. Now the client has this money since last 2 years in his FD (Fixed Deposit) account. Now as he can see there is a SFT transaction mentioned in his Form 26AS. What to be done? is it a matter to worry? Was there any tax which was supposed to be submitted in this money?

Thanks in advance.

Replies (3)

Sumit Shukla

378 Points Posted on 02 January 2021

No issues it can be considered as a GIFT from related party and no taxability arise in Son account provided the interest part of the FD is considered for tax computation. Secondly Hope the Father have filed his return in the year of transfer of property and the same Gain arisinh on transfer was considered in that year return of income

ayusmita

Tax consultant

5895 Points Posted on 02 January 2021

Nothing to worry as the property is sold and share money is deposited in son name so bank has fill form 16a to report these transactions with income tax department as per the latest rule
nothing to worry about it and no need to submit money
just fill your return normal way as usual way

showing those fd interest and other details