clubbing of capital gain on house property

This query is : Resolved

CA NIDHI VYAS (Querist)
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06 December 2010 Mr. X gifted the house property to his wife in 81-82

Mrs. X want to sell the same in current year.

Whether Capital Gain would be taxed in hands of mr. X or Mrs. X ?

Please answer after referring to the case of Sevantilal Maneklal Sheth [68 ITR, 503(SC)] & Sec 64(1)(iv)

Aditya Maheshwari

Aditya Maheshwari (Expert)
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06 December 2010 Clubbing provisions applicable. Taxable under the hands of Mr. X.

CA.ViVeK M ACA

CA.ViVeK M ACA (Expert)
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06 December 2010 The clubbing provisions will be applicable and capital gain shall be chargeable to tax in the hadn of Mr X.

Reason for clubbing

The transfer was made for an inadequate consideration and not being an agreement ot live apart.

Beneficial ownership is rest with Mr X only

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