My father bought a plot and gifted me. I sold it. How income tax is calculated?1 min read 20 Jan 2023, 10:34 AM IST
For the purpose of computing capital gains in respect of property received as gift from specified relatives which is exempt under Section 56(2)(x) or as inheritance, the cost incurred by the original owner who had acquired it for consideration is treated as the cost of the seller
My father had bought a plot of land in 1995 for Rs. 50,000. He transferred the same to me during the financial year 2021-22 as a gift. The stamp duty ready reckoner value at the time of transfer was Rs. 25 lakhs. I have sold it during the current year for Rs. 28 lakhs. What is my tax liability? Is the profit of Rs. 3 lakhs short term gain or long term?
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