I have 2 apartments in Nasik and I intend to offer one residence inNasik I am the First proprietor secondly is my partner. I intend to buy a brand-new peel atPune I desire to take the continuing to be mortgage in my kid’s name. Please overview me for earnings tax obligation advantages. – Nirmal
In order to conserve such funding gains tax obligation, the vendor might take into consideration availing exception u/s 54 using re-investing the funding gains continues in a brand-new residence residential property in India based on the list below problems:
The brand-new property residence residential property have to be bought 1 year prior to or within 2 years after the sale of your home and in situation of building and construction, such building and construction must be finished within 3 years after the sale of your home.
Such residence residential property purchased/constructed ought to be positioned in India.
The brand-new residence residential property bought would certainly undergo a lock-in duration of approximately 3 years from the day of acquisition.
In situation the financial investment in the brand-new residence residential property is not made prior to equipping the income tax return, the exception can still be declared by transferring the quantity of funding gains in the Capital Gains Account Scheme.
The quantity of exception would certainly be reduced of the funding gains emerging on the sale of your home or the financial investment in a brand-new residence residential property.
Further, as the residential property is co-owned by the assessee and his partner, the accumulation of the funding gains exception will be admitted percentage to the share of the particular co-owners of your home.
Tax advantages on mortgage
If the mortgage is absorbed the kid’s name for buying the brand-new level, he can assert tax obligation advantages on the passion paid on the mortgage under Section 24( b), which permits a reduction of approximately Rs 2 lakh per fiscal year on passion spent for a self-occupied residential property. Further, please note that typically, the lenders urge that the consumer (in this situation your kid) ought to additionally collectively have the brand-new residential property which you are suggesting to buy in Pune.
Additionally, the kid can assert a reduction of approximately Rs 1.5 lakh under Section 80C for the major settlement of the mortgage.
As such, marketing the level in Nashik and buying a brand-new one in Pune can give considerable tax obligation advantages if you reinvest the funding gains properly and use mortgage reductions efficiently.
(Views shared by the financial investment professional are his/her very own. Email us your financial investment questions at askmoneytoday@intoday.com. We will certainly obtain your questions addressed by our panel of specialists.)
