Good Afternoon Sir,
I want to know the tax implication in following case. Please post your inputs and suggessions
Mr. X bought a Flat worth Rs. 3Cr. by selling his another flat and investing his capital gain amount. he paid no tax as per the provision of section 54F.
But while purchasing new flat he put his care taker Mr. B's name as joint owner in the purchase agreement as Mr. X has no relative exist (Assendent / Decendent). All the money paid by Mr. X only.
My question is :
1) As per the agreement the owner of the purchsed flat are Mr. X and Mr. B then will Mr. B treated as 50% ownership of the flat? as the sharing clouse not mentioned in the agreement
2) Whether the share of Mr. B is treated as taxable Gift as he is not qualify defination of "Relative" u/s 56.
3) After death of Mr. X, will Mr. B be the sole owner of the property ? will that part also taxed ???
4) Mr. B is not filing his income tax return and he received high value transaction alert as per AIS filed by Registrar. Is it compulsary to file his income tax return (if answer of question 2 is YES) ???
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