26 July 2012
If A has inherited a property after his father's death. and then A sells that property at Rs 1 cr in 2012. (Property was bought at Rs 7 lac in 1994 & Father died in 2006). Then A bought FLAT for Rs 1.30 cr jointly with his wife. BANK is financing 50 lac and A wants to pay 80 lac for the proceeding of land sale.
1) Will there be any kind of tax liability on the sale of land 2) who will enjoy the tax benefit home loan (1 lac principal payment and 1.5 lac interest payment)
26 July 2012
the capital gain is difference between the sale proceeds and indexed value of asset in 1994. 2. both can enjoy the tax benefit but the total benefit should not exceed the prescribed limit and the same should be informed to your employer.
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