04 December 2013
If a son files a suit against father for acquiring his share in the property and the court's decision goes in his favour....
then what will be the cost of acquisition in the hands of son...either previous owner's cost or Fair Market Value of the property as on the date of court's decision.
Acquired by father in 2001 Court's decision held in 2011.
04 December 2013
Cost to previous owner is considered. Court is not the owner but rather who should be owners it can decide. In your case the previous owner is father so 2001 will prevail as cost to the son.
04 December 2013
what is transfer sale, exchange, relinquishment or extinguishment. In the above case it is niether of any relations to transfer. As per law son has a share in property of his father or forefathers. He has just acquired the same. It is as good as inheritance. Court even does not recognise Family arrangement amoung members for interest in property as transfer. So i would continue withmy previous opinion.Your query is definately thought provoking keep it up.
CAclubindia
