capital gains

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

01 May 2010 a father has two properties,one flat & one site. he gifts the site to his daughter,then daughter sells the gifted site after holding for 1week to x party.
the sale consideration she got from selling her site is a long term capital gain, In order to avoid pay ltcg tax, she prefers to buy the flat from her father.
with in one year. is it right format &
ltcg exemption is it allowed in the hands of daughter.The consideration paid by the daughter to the father is the cost price of the flat & her saleprice of the site.

Aditya Maheshwari

Aditya Maheshwari (Expert)
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01 May 2010 To summarize you query daughter sells the house received as gift from her father and now to save capital gains wants to purchase the other house of the father to claim exemption u/s 54.

This seems to be a tax planning but still the same will be valid and the same can be done and gone ahead with.

However if father sales premises on less than the stamp duty valuation then sale consideration will be the stamp duty valuation taxable u/s 50C.