Legal Question in Real Estate Law in India

hello

The property in question is jointly owned by myself & my brother. The property was inhetited by both of us. The flat was in our family name since the last 15 years but was transfered in our name only last year. My brother wanted to sell his share to me & my wife for which i paid him the then market value. Now i want to sell it before the 3 year period. So what will be my liability in tax? Income or Capital Tax?


Asked on 5/14/07, 7:07 am

2 Answers from Attorneys
Shrichand Nahar S.V.Nahar, Advocate

Re: hello

In case of property coming to heirs by succession, period for which same was held by predecessor-in-title is also considered while computing captial gains.

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Answered on 5/15/07, 4:47 am
Balasubramanya Beeranna Balasubramanya&Ramesh Associates

Re: hello

It will be treated as short term gain, any property retained above 3years, will be treated as long term gains, since you are selling entire share only your brothers share will be treated as short term capital gains tax, and with your share you can state it as long term capital gains.

Balasubramanya.

Advocate.

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Answered on 5/17/07, 12:16 am


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