Hello,my father has just sold a residential land after purchasing it after 25 years,hence he is liable to long term capital tax. Now i am planning to buy a house and my father is going to help me with all money he got from the sale of land. Request to please let me know will he be liable to tax savings on long term capital gain, if yes then how ? P.S.: Purchase of new house will be within 2 years from the sale of land.
long term capital gain tax exemption for Father if he supports the son for the purchase of new house.
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1 Answers
New property should be in the name of same person (single or jointly owned) who have earned capital gains.
However, in some court cases, court have allowed new property to be in the name of spouse or son.
To be on safer side, you can buy new property with your father as a joint owner of new property.
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