Feedback   New User   Login      
Tax Management India. Com TMI - Tax Management India. Com
Home Acts / Rules Notifications Circulars Tariff/ ITC HSN Forms Case Laws Manuals Short Notes Articles News Highlights
Extracts
Home List
← Previous Next →

Capital Gains - Transfer of property versus Gift - A case of ignorance of assessee. In such cases people handling matters must be more careful and helpful to clients

Income Tax - By: - CA DEV KUMAR KOTHARI - Dated:- 2-9-2017 - Case under study and discussion: Smt. Balwant Kaur Mangat Versus ITO, Ward-1 (2) , Ghaziabad 2017 (8) TMI 1129 - ITAT DELHI Cases referred to in above: Rashtriya Ispat Nigam Ltd. Versus Dewan Chand Ram Saran - 2012 (4) TMI 457 - Supreme Court of India GKN Driveshafts (India) Ltd. Versus Income-Tax Officer And Others - 2002 (11) TMI 7 - SUPREME Court Additional Commissioner Of Income-Tax, Delhi-I Versus Mrs. Avtar Mohan Singh - 1981 (10 .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e was ill advised to transfer her property by executing a document of sale at a token value, which was also not received from transferee who is her daughter. It appears that in fact she had gifted property to her daughter but on wrong advise she had shown it as a sale transaction showing token amount of ₹ 2,50,000/- which was also not received by her from her daughter. Concerned persons and Authorized Representatives: Advisors and consultants must take care in case of all clients to show f .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

he sale deed was wrongly made instead of gift deed. There could be a partial gift also by mentioning in the deed that the assessee had agreed to sell property at lower price and difference between market price and price charged, is a gift to daughter and she will have no claim for the same. b) In the deed, consideration has been shown to have been received. Whereas consideration was never received as contended by assessee. c) A rectification deed could be executed to make the intention and true .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

value over consideration could have been made and filed. g) That when a property is sold for lesser consideration than market value, there is a case of gift from the seller to buyer. Particularly when the consideration shown is token amount and that has also not be paid, at any time, by the seller who is daughter of seller. h) Ignorance of assessee and negligence of concerned persons was not pressed for consideration. i) Surrounding circumstances and human probability were not pressed properly. .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

who dealt with tax matters should have acted in a bit more careful manner. Suggested clause of gift in sale deed: When a sale is made at a negotiated price which is lower than market value or value adopted for purposes of stamp duty a clause about gift from vendor to buyer can be inserted on following lines. Vendor declare that he is related to buyer as …(e.g. as mother of buyer, as sister of buyer, as neighbour of buyer, as a friend, as a colleague, as a classmate, …… etc. .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

Forum
what is new what is new
  ↓     bird's eye view     ↓  


|| Home || About us || Feedback || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version