Tax on selling gifted property

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 October 2013 Sir, My brother wants to gift a property to me so that i can sell it and repay my loan or buy myself a land. If brother sells himself then he will have to pay income tax on gains. Therefore he suggested that he gifts the property and i handle all issues related to income tax on selling it. I want to sell it within week and at the same time want to save income tax. so i'm asking my brother to gift deep between my two kids(minors), myself and my wife(house wife). Therefore i can save something on capital gains after selling it. Is it legally ok

CA Pallav Singhania

CA Pallav Singhania (Expert)
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24 October 2013 If the property is being gifted to you and the same you sold within 3 years then it will be a short term capital gain on your hands and will be taxed as normal rate..
However, no exemption will be available under this...