I had purchased a piece of land in 2006, without any agreement for sale, but the property was taken possession of after paying the sale consideration in full and obtaining a receipt for the same. The registration of the property has not been done yet. Please tell me how the tax treatment would be if (1)I were to sell the property now by selling after having the property transferred to my name or (2) having the transfer done by the previous owner himself with a narrative as to what has transpired between him and me in the transfer deed itself.
20 January 2014
Once the risk is transferred from buyer and seller the sale is completed in the eyes of law. As per Income tax normal sales provision will apply and capital gain shall be taxable in your hand
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