01 February 2008
hi friends , this is haranath, my query is,
Mr. A inherits a house property from his father, who had mortgaged it. Mr. A discharges the mortgage debt. Mr.A later sells the property. Can he claim the amount paid to the mortgagee as cost of improvement in computing the Capital Gain?
02 February 2008
Discharging of one's repayment obligation in respect of a mortgage loan on a property can not be treated as cost of improvement to that property.
02 February 2008
ANY AMOUNT PAID TOWARDS DISCHARGE OF MORTGAGE IN RESPECT OF OF INHERITED PROPERTY SHALL BE ALLOWED AS A DEDUCTION CASE LAW- R M Arunachalam-227 ITR 222 SC
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