29 September 2013
I am resident of a trust property since last 55 years with my family. The trust gave me a proposal to vacate the said property for a consideration of Rs 5 lakhs .
What will be the treatment of this amount in income tax - Capital gain or income from other sources or anything else.
Secondly, if I accept the proposal, the income will be my personal income or income of my HUF.
29 September 2013
I believe you must be long term tenant. the vacation of land would constitute surrender of tenancy rights and taxable as capital gains.
if you were paying rent in personal capacity, then it should be your personal income.
21 October 2013
Since you are staying in the premises of a trust since past several years you have interest in the property right as from time to time the repairs and maintenance must have been made by you. So in lie of the care taking the property you are being paid certain amount which will fall under the head Long Term Capital Gain with Zro value of cost of acquisition so the entire amount is taxable as long term capital gains.
As regards showing in individual or HUF depends on the amount of rent, electric charges and maintenance paid by you from the account. If it is paid from HUF then HUF otherwise individual.