Short term gain
This query is : Resolved
23 February 2017
I have bought 100 shares of RIL @1082 than transfer them to my daughter's account rate was Rs.1130. She than sold them @1180. What abt our sort term tax liabilities?
23 February 2017
Dear Harshkant,
Two possibilities-
1. If you have received the money for the transfer that you made to your daughter- you are required to pay taxes on the gain that you made i.e Rs 48 / share and she has to pay taxes on Rs 50/ share profit made by her.
2. If you treat this transfer as gift- you are not required to pay taxes on the transfer. But your daughter has to pay taxes on the total gain Rs 98/ share.
Notwithstanding the above, please note- if your daughter is still a minor-her gain is also clubbed with your income and you will have to pay taxes thereon. However, flat exemption of Rs 1500/- p.a. is available.
Hope the above clarifies.
Regards,
CA Hariprasad Nayak
+91 9481 227 467
Two possibilities-
1. If you have received the money for the transfer that you made to your daughter- you are required to pay taxes on the gain that you made i.e Rs 48 / share and she has to pay taxes on Rs 50/ share profit made by her.
2. If you treat this transfer as gift- you are not required to pay taxes on the transfer. But your daughter has to pay taxes on the total gain Rs 98/ share.
Notwithstanding the above, please note- if your daughter is still a minor-her gain is also clubbed with your income and you will have to pay taxes thereon. However, flat exemption of Rs 1500/- p.a. is available.
Hope the above clarifies.
Regards,
CA Hariprasad Nayak
+91 9481 227 467
Message likes :
1 times
23 February 2017
Short capital gains taxed @15% difference between Purchase / transfer price and sales price.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is Aadhar PAN linking required for opening bank account?
- Applicability
- CPC Processing IT Return for AY 2023-24 without recognizing the Taxation Option under New Regime
- Where to show the RCM on Rent paid to unregistered landlord
- RCM - commercial rent paid to URP under GST
- TDS NUMBER SURRENDER
- GSTR-3B - Do I file nil when there is no sale but I've bought raw materials
- Legal heir raised refund , but refund issued to the closed account of deceased.
- Gst Sales of FY 2023-24
- Offsetting interest income against derivative trading losses
- My Last working day in current org is in novemebr 2024 but they are asking me to submit IT proof
- Indexation benefit applicability
- SEC 54 OF IT ACT
- Passed group 2 exams under wrong gender
- REQUIREMENT OF 15CB
- QUERY FOR RCM ON RENT
- APPEAL-CIT
- Payable outstanding for years disallowance
- Whether still royalty
- Issue of gst e invoice
Trending Online Classes
-
Excel Mastery Program
CA Rishabh Pugalia
CAclubindia
