Case: an individual bought a vacant land ( not completely registered it in his name, instead bought it using 'power of attorney'). Then he sells his property and obtains some gain.
Now my doubt is, since he has only power of attorney rights,
1)whether this sales comes under his name or original previous owner?
2)Who is liable to pay tax?
3) plz kindly advice how should we account this to the above individual?
Earliest reply would be greatly appreciated...thanks in advance.
Generally person who receives payment is liable for the tax payment.
Also depends upon the agreement clause. ITD will send notices to both.
CAclubindia
