Tax on income gained from selling of inherited property
This query is : Resolved
09 March 2008
My mother aged 63 years, has inherited a capital amount of Rs.5 lacs from a transaction of the house in owned by her father (not alive now) which is now owned by my uncle.
Could you let me know what kind of tax will this attract ?
Is the entire amount taxable ? If not, how much has to be reinvested to make it tax-free.
What are the reinvestment options to make this money completely tax-free ?
Could you let me know what kind of tax will this attract ?
Is the entire amount taxable ? If not, how much has to be reinvested to make it tax-free.
What are the reinvestment options to make this money completely tax-free ?
09 March 2008
Details not clear. Are you saying that she received a compensation by way of family settlement regarding inherited properties?
10 March 2008
PLEASE CLARIFY
10 March 2008
capital gain tax will be applicable if the property is not rural agricultural land.
liable to pay capital gain tax on the share gained in inherited property .
to take exemption of section 54 or 54F, one has to keep it in capital gain account before due date of return filing.
then within time limits specified thereunder, go for eligible investments.
show the capital gain as well as exemption claimed in the return of year in which there is capital gain .
R.V.RAO
liable to pay capital gain tax on the share gained in inherited property .
to take exemption of section 54 or 54F, one has to keep it in capital gain account before due date of return filing.
then within time limits specified thereunder, go for eligible investments.
show the capital gain as well as exemption claimed in the return of year in which there is capital gain .
R.V.RAO
10 March 2008
As the property has been inherited the cost to the previous owner (person from whom inherited ) would be the cost of acquisition .
However, if the property has been acquired by the previous owner before April 1, 1981, then the Fair Market Value (market price) as on this date needs to be considered.
What if the FMV is higher or lower than the original cost? Then the higher figure is taken into account.
SOURCE:www.in.rediff.com
R.V.RAO
However, if the property has been acquired by the previous owner before April 1, 1981, then the Fair Market Value (market price) as on this date needs to be considered.
What if the FMV is higher or lower than the original cost? Then the higher figure is taken into account.
SOURCE:www.in.rediff.com
R.V.RAO
10 March 2008
Please crear ur query
10 March 2008
i m going with the reply from r. v. rao.
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
- Where to show the RCM on Rent paid to unregistered landlord
- 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
- Gst Sales of FY 2023-24
- 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.
- Offsetting interest income against derivative trading losses
- Application of 115BAC
- Whether still royalty
- 20% OF DEMAND PAYMENT IN APPEAL
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding Resignation by Auditor from Pvt. Ltd.
Trending Online Classes
-
Excel Mastery Program
CA Rishabh Pugalia
CAclubindia
