We recently sold our ancestral property (constructed in 1964). My Dad had constructed it. After his expiry, my Mom and us 4 brothers and sisters became the legal heirs to my Dad's share. We did not transfer of the property in our names. We then jointly sold this property. My kins & Mom have orally relinquished their rights in my favor and i have recd the amount in my account.
Now the question is, how will be the taxation.
1.Will all five of us need to show the capital gains and file the returns. No one except me are taxpayers.
2.If they show it in their returns should I transfer the shares to their accounts.
3.Can they gift me that amount after filing capital gains and paying the taxes.
4. Will they get the benefit of Basic Exemption Limits.
5. I want to pay off one of my home loans (purchased two year before sale of the ancestral property.
6. We dont know the cost of the property.
Sheema
CAclubindia
