SAGAR (CA) (129 Points)
27 February 2012HELLO FRIENDS, MY CLIENT HAS A PLOT OF LAND AND REGISTERED IN HIS OWN NAME.
NOW HE AND HIS BROTHER BOTH JOINTLY WANTS TO DO THE CONSTRUCTION ON IT.
THEY WANT THAT WITHDRAWALS FOR THE ABOVE SHOULD BE MADE FROM THEIR RESPECTIVE SEPERATE BUSINESS.
BUT BANK IS GIVING THE LOAN ON THE REGISTERED OWNER NAME.
NOW, PLS. HELP ME WHAT TO DO WHETHER HE CAN MAKE A GIFT DEED OF HALF PLOT IN HIS BROTHER NAME
OR ANYTHING ELSE HE DO.
THANKS.
Anumanchipalli Sathikonda
(Tax Consultant)
(1559 Points)
Replied 04 March 2012
Mr.Sagar
As per the provisions of section 56(2)(vi) any gift received from any relative is exempted from tax. A brother is one of the relatives specified in that section.
Hence half of the land can be gifted to the brother and gift deed can be registered. By that way the brother also will become a registered owner of the land. Thus the condition laid down by bank can be satisfied.
Best Wishes
Sathikonda
Anumanchipalli Sathikonda
(Tax Consultant)
(1559 Points)
Replied 05 March 2012
Mr.Sagar
Any transfer of immovable properties i.e. transfer by way of sale, gift or mortgage of immovable properties are to be registered with the Sub-Registrar having jurisdiction over the area where the impugned properties are located or with the District Registrar if local laws allow to register the properties with the District Registrar. Please visit the webseite of Inspector General of Stamps and Registration of your state wherein you can find all the details regarding registration of immovable properties.
Best Wishes
Sathikonda
CAclubindia
