27 June 2012
An Assessee owns a residential house property which is in the name of himself alongwith his wife. However, payment for purchase of house was made from own funds of the assessee alone. During PY, he sold the house property and sale consideration is received by him alone. He invested capital gain in new residential house property which is also in the name of himself and his wife. But, payment for the same has been made by himself alone. He has also taken a loan for house property in the name of himself and his wife. Questions: 1) In whose hands capital gain on transfer of house will be taxable? 2) What about exemption U/s 54? 3) Who will get deduction U/s 24 for interest on loan?
26 July 2012
No I disagree with the expert as the wife has never made any investment it is only for the name sake her name is included. If the share % percentage is not fixed the purchase and sale shall always go to the person who has invested and not the the other co-owner who is only on papers.
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