Gift tax query
This query is : Resolved
15 April 2013
Hi All
Our flat is undergoing re-development and we are receiving a sum of Rs 5 lakhs in two cheques of Rs 2.5lakh each.The amout will be received from the builder doing the re development.
The same i will be receiving as gift of 5 lakhs in two cheques of 2.5 Lakhs each from my mother. I have a education loan to replay and the amount will be a gift out of love and affection. Can anyone please tell me if the gift is exempt from tax, the formt of the deed and if registration of the same is required.
I am 32 years old and my mother is 67 and she is a house wife.I am not working due to a health problem and my mother is not playing taxes as she is a house wife.
Can you please let me know the answer as soon as possible, appreciate the efforts.
Thanks
Our flat is undergoing re-development and we are receiving a sum of Rs 5 lakhs in two cheques of Rs 2.5lakh each.The amout will be received from the builder doing the re development.
The same i will be receiving as gift of 5 lakhs in two cheques of 2.5 Lakhs each from my mother. I have a education loan to replay and the amount will be a gift out of love and affection. Can anyone please tell me if the gift is exempt from tax, the formt of the deed and if registration of the same is required.
I am 32 years old and my mother is 67 and she is a house wife.I am not working due to a health problem and my mother is not playing taxes as she is a house wife.
Can you please let me know the answer as soon as possible, appreciate the efforts.
Thanks
15 April 2013
Now i properly understanding you query and transaction. I think you given your plat for re-development to a builder for that purpose he paying Rs. 5 lacs to you i.e means you are selling property and sale consideration is Rs. 5 lacs and this 5 lacs has been given through cheques in the name of your mother. I.e i think that flat is on the name of your mother so then capital gain tax liability will araises in the hands of your mother.
For addition to my reply in forum is then the sources of gift amount to mother is sale of flat so mentioned this in your gift deed.
OM SAI SRI SAI JAI JAI SAI
For addition to my reply in forum is then the sources of gift amount to mother is sale of flat so mentioned this in your gift deed.
OM SAI SRI SAI JAI JAI SAI
15 April 2013
Hai Niketd You used the word "the amount will be received from the builder" instead of amount will be received by the builder from you or paying amount to the builder. this mistake is changing the meaning of your query and transaction thus i answered as above so please don't keep mind of that above answer i will reply you with proper one please wait.
OM SAI SRI SAI JAI JAI SAI
OM SAI SRI SAI JAI JAI SAI
15 April 2013
First of all i explain the transaction between you and builder and you and mother and the conditions for re-development with the builder please read out this and confirm me is my view is correct. Because of this confirmation required to me to understand the case of you and give proper suggestion on this.
I think the case of you is You agreed with builder to re-develop your flat for Rs. 5 lacs for this purpose you have to pay this amount to the builder by the way of two installments through cheque of Rs.2.5 lacs each. For making this payment you taking gift of the same amount from your mother(i.e sources of development expenses of flat is gift from mother to you).
After all the replies from you i understanded the above case of you. Is it correct or if differ then please provide future clarification i will surely respond you for your case and suggestion.
OM SAI SRI SAI JAI JAI SAI
I think the case of you is You agreed with builder to re-develop your flat for Rs. 5 lacs for this purpose you have to pay this amount to the builder by the way of two installments through cheque of Rs.2.5 lacs each. For making this payment you taking gift of the same amount from your mother(i.e sources of development expenses of flat is gift from mother to you).
After all the replies from you i understanded the above case of you. Is it correct or if differ then please provide future clarification i will surely respond you for your case and suggestion.
OM SAI SRI SAI JAI JAI SAI
15 April 2013
Because of with your query there is sale query arising so please confirm the transaction details clearly.
OM SAI SRI SAI JAI JAI SAI
OM SAI SRI SAI JAI JAI SAI
15 April 2013
Hey Bud,
I will clarify again as there seems to be some misunderstanding, I will go point wise to make it simpler
1. Our Society consisting of 6 flats is undergoing re development.
2. Re development is undertaken to demolish the existing structure and construct a new one, usually with more number of flats than the existing
3. The builder undertaking the re development [in our case], will construct 10 flats.
4. out of the 10 flats 6 belong to the existing members
5. Main point its a society owned land and members owned flats.
6. So there is no sale of 6 flats, the builder will sell 4 flats and get his profit.
7. As it is society owned property and we are granting the builder permission to use the FSI AND TDR, he will be paying each member [old members 6 of them] a sum of 5 laks.
8.The flat is in my mothers name so we will receive 2 cheques of Rs. 2.5 l each in her name.
9. Now my mom will be receiving a total of RS 5 Lakhs [2.5 x 2] in cheques
10. To avoid paying income tax she will be giving me a gift of the same Rs 5 Lakh.
I hope the clarification is clearer. Thanks for your help do appreciate it
I will clarify again as there seems to be some misunderstanding, I will go point wise to make it simpler
1. Our Society consisting of 6 flats is undergoing re development.
2. Re development is undertaken to demolish the existing structure and construct a new one, usually with more number of flats than the existing
3. The builder undertaking the re development [in our case], will construct 10 flats.
4. out of the 10 flats 6 belong to the existing members
5. Main point its a society owned land and members owned flats.
6. So there is no sale of 6 flats, the builder will sell 4 flats and get his profit.
7. As it is society owned property and we are granting the builder permission to use the FSI AND TDR, he will be paying each member [old members 6 of them] a sum of 5 laks.
8.The flat is in my mothers name so we will receive 2 cheques of Rs. 2.5 l each in her name.
9. Now my mom will be receiving a total of RS 5 Lakhs [2.5 x 2] in cheques
10. To avoid paying income tax she will be giving me a gift of the same Rs 5 Lakh.
I hope the clarification is clearer. Thanks for your help do appreciate it
15 April 2013
Now the your question is clear and correct answer will be come now with out any confusion. According to the above what i am thinking is correct that is there is some sale indirect it directly not seems as sale but indirect seems sale. Before to confirm is any sale or not please confirm "the FSI AND TDR is granting funds of Rs. 5 lakhs each member and your mother is the member of trust she receiving the amount to redevelop of the flats" is it correct as well as is your mother liable to re-pay such Rs. 5 lakhs.
Or further can you call me at 08985063892.
OM SAI SRI SAI JAI JAI SAI
Or further can you call me at 08985063892.
OM SAI SRI SAI JAI JAI SAI
15 April 2013
Okay can you call me i will explain you properly.
OM SAI SRI SAI JAI JAI SAI
OM SAI SRI SAI JAI JAI SAI
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