01 December 2013
Me and my father have sold two different plots held in individual names. The plot is residential in nature and was held by us for more than 3 years. Now, can we purchase a single flat in joint names? In that case, can both of us claim exemption from capital gains? What is the procedure for filing returns?
02 December 2013
Yes you can buy a single flat in joint capacity provided the gain earned by both of you is absorbed in new property or else difference will be taxable. Define the share of both in the property preferable 50: 50 and while filing returns show the same as reinvestment u/s 54. As the property will be jointly owned there will two owners legally. Also pay your individual share from your respective accounts.
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