tax query

vinay sharma (CA final (Article)) (327 Points)

16 February 2011  

hello every one......i posting this topic becoze i m confused in capital gain situation

the situation is, A father have a house purchased in 1/5/1988 for Rs. 175000/-  and gift to his son in 1/8/2010

and son sale the same house for rs. 20 lakh in 12/1/2011. now the question is wether the indexation benefit of 1988  

is given to son or not with the puchase price i.e. 175000/- ? pls post the ans. with sec. notification no, case etc.