tax on gift property

Clubbing of Income on Property Gifted to Spouse or Minor Child-Section 64 of Income Tax Explained

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You gifted your spouse a house. A heartfelt gesture, right? Until you realize—you’re still the one footing the tax bill on the rental income. Welcome to one of Income Tax Act’s quietest but most cunning rules: Clubbing of Income under Section 64. In this blog, we’ll walk you through how gifting property to your spouse … Read more

Section 56(2)(x) of the Income Tax Act: The Hidden Tax on Cheap Property Deals

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Recently, many taxpayers have received notices from the Income Tax Department under Section 56(2)(x) of the Income Tax Act. Why? Because they bought property at a price lower than the stamp duty value (SDV) — often with genuine reasons. Maybe the seller was in distress.Maybe the market price didn’t match the stamp authority’s “optimism.”Maybe there … Read more