Sumiti Jain (FP) (1364 Points)
27 January 2011A Person has sold his property for5 crore which he gets as follow:
some part of property from his mother undre gift &
remaining part of the property is his share obtained by dividing the property in four parts by all the four brothers under mutual consent.
1) Is the partition by mutual consent is valid in our constitution?
2) What will be the cost of property for calcuklating the Capital Gain?
3) What is the treatment of the property which is received as Gift from his mother ?
siri
(CFO)
(174 Points)
Replied 27 January 2011
According to Sec.49(1) read with sec.2(42A)/47, when an asset is acquired by way of a gift or will, the period for which the asset was held by the previous owner should be included. & cost to the previous owner is deemed to be the cost of acquisition to the assessee.
siri
(CFO)
(174 Points)
Replied 27 January 2011
u told that u acquired the remaining property from the partial partition of a HUF, dis is also covered u/s-49(1). in dis, u decide wether it really partial partition of a HUF. then cost to the previous owner is deemed to be the cost of acquisition to the assessee. in that ur cost is also divided into ur part of asset. (in aq.yads.).
siri
(CFO)
(174 Points)
Replied 27 January 2011
i think mutual consent of a parties is not valid for patition there is legal evidence for that and u should show the legal documents to the department for verification.
i told dis statement by comonsence & i don't the exact provisions of the Law.
CAclubindia
