Exchange of immovable property

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 November 2018 An immovable property was exchanged for another and difference in value is paid in cash/bank as agreed upon mutually. Is this transaction admissible under the Income Tax Act in the light of provisions under section 269? If yes, then what would be the tax consequences?

Nikhil Kaushik

Nikhil Kaushik (Expert)
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24 November 2018 269SS will come into play only if the cash amount is in excess of Rs 20000/- rest should not be a problem. Ensure that stamp duty is duly paid.

Querist : Anonymous

Querist : Anonymous (Querist)

24 November 2018 What about Section 269C? Will the entire consideration (Value of exchanged land+ Bank amount paid) be considered for comparing with Fair Market Value?

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Nikhil Kaushik

Nikhil Kaushik (Expert)
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24 November 2018 isn't that obvious?

Querist : Anonymous

Querist : Anonymous (Querist)

24 November 2018 Just confirming in case of Section 269... Anyway, thanks!!!