LawRato

What are the tax implications if I transfer my property to my wife?


24-Jul-2023 (In Tax Law)
I recently sold a flat which was bought 7 years ago and there is zero tax liability as per indexation. I used this amount to procure a land from HUDA 3 months ago but now I want to sell it; however, to sell it I need to get a conveyance deed done at 7% as I'm the only owner (male). I want to know if I transfer the property to my wife's name and get the conveyance deed done with HUDA; and then she sells this land in the next 2-3 months - would there be any short term capital gains tax applicable in this case? Considering, it is a case of transfer of property where there is no amount paid by the new owner/seller to compute capital gains.
Answers (2)

Answer #1
588 votes
Transfer of property without consideration is void, except out of love and affection. What you want to do needs to be examined in the light of law and incidence of tax as well. The entire thing has to be carefully vetted.

Yatish Kumar Goel
Advocate

Answer #2
607 votes
Hi, it's better you sell your property by your own. But if you transfer the property in your wife name and she sells that property then the consideration amount will show in your wife's account and department can send notice to your wife to know the details.

Disclaimer: The above query and its response is NOT a legal opinion in any way whatsoever as this is based on the information shared by the person posting the query at lawrato.com and has been responded by one of the Divorce Lawyers at lawrato.com to address the specific facts and details.

Report abuse?

Comments by Users

No Comments! Be the first one to comment.

"lawrato.com has handpicked some of the best Legal Experts in the country to help you get practical Legal Advice & help."