Income tax:option of using fmv on 1.4.1981

Tax queries 520 views 1 replies

suchi

assisstant clerk

79 Points Joined June 2010

Hello All,

Pls help regarding this query.I have a client.He got the gift from his father a house.Now he has sold the house.He gor the house after 1.4.1981 But his father purchsed it in 1955.Now in this case can we use the FMV on 1.4.1981 ????.Or we are required to use cost of acquisition to previous owner.

Replies (1)

Mihir

Wealth Manager

5293 Points Joined December 2008

Cost of acquition in this case will be the cost to the previous owner. But since it is purchased prior to 1981, you can, if you know, use the fair market value of the properties as on 1981.