Accrual of Tax liability while transferring property right through Sale-deed

Forums Capital Gains Accrual of Tax liability while transferring property right through Sale-deed

Accrual of Tax liability while transferring property right through Sale-deed

I am an owner of a property and now I want to sell it to my uncle (my father’s own brother) through a Sale-deed. Please tell whether any sort of tax (capital gain or any other) accrues from such transaction or not? Also please tell whether it is a long or short term capital gain (if it is really taxable under capital gains tax system) if I am owning this property since 2008 and now its stamp duty valuation is around 25 lacs?

Profile photo of Sanjay Agarwal Asked By: Sanjay Agarwal 1 replies 1 helpful answers Last Updated: 2 weeks, 1 day ago
  • Profile photo of Sanjay AgarwalSanjay Agarwal
    Participant

    I am an owner of a property and now I want to sell it to my uncle (my father’s own brother) through a Sale-deed. Please tell whether any sort of tax (capital gain or any other) accrues from such transaction or not? Also please tell whether it is a long or short term capital gain (if it is really taxable under capital gains tax system) if I am owning this property since 2008 and now its stamp duty valuation is around 25 lacs?

  • Profile photo of Chetan ChandakChetan Chandak
    Moderator

    If the property is sold and not gifted (i.e. you are selling it for a price) then it may give rise to capital gain and related tax liability as well.

    In this case the long term gain amount will be calculated after reducing indexing cost of acquisition paid in 2008 for the purchase of the property.

    Also insure that the sale price is not less than the current stamp duty value.

You must be signed in to reply to this question.