is section 56(2)(x) is applicable to a property purchased in bank auction?
If no kindly provide the relevant extracts to prove the same
Section 56(2)(x) of the Income Tax Act is applicable to all kinds of property received as a gift or inheritance, without consideration, which includes immovable property such as land, buildings, or any rights in such property. This section is applicable when the fair market value (FMV) of the property received exceeds Rs. 50,000.
In the case of a property purchased in a bank auction, the consideration for the purchase is paid by the bidder, and hence it is not received as a gift or inheritance. Therefore, Section 56(2)(x) is not applicable to a property purchased in a bank auction.
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