Sir,
Can we transfer a property ,which has been constructed, by availing capital gains tax exemption, before three years from date of completion,through gift deed,as it is without consideration,guide us,or else what are the tax implications?
1 Answers
Hi,
Very good question!
Investment in a new house or specified bonds has a lock-in of three years. If the new house is sold or bonds are converted into cash within three years, exemption claimed from LTCG shall be revoked. If you take a loan against the security of the bonds, then the bonds shall be deemed to be converted into cash.
In your case, your are not going to convert (sell) the house into cash.
You may kindly consult a CA as well!
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