Assess property value Rs:50 lacs.this property gift to son.
1.assess sales of property received amount after transferred cash gift to son.
2.property gift to son.
Assess above two transactions better and safe in I.t. act.
Gift from relative is exempt either in kind or in cash. Hence:-
Gift of property by father to son is exempt from income tax and
Cash gift by father to son is also exempt…
But please take care of section 269ST and do not make cash payment above rs. 2 lakh…
Property value is Rs. 50 lakh and if you decide to sell it and then gift to son then use e-payment mode or account payee cheque.
Hence you have to decide whether to gift a property or make a cash gift after selling the property, choose on the basis of following grounds:-
1. Ask your son, he is interested to hold the property or want to sell it.
2. Check the stamp duty applicable is father sell the property and stamp duty applicable if son sell the property.
3. Real estate market price may also be helpful in taking decision.
But no income tax applicable on gift from relatives.