State with brief reason, whether the following relate to tax planning, tax avoidance or tax evasion: Assessee has two residential houses. He wants to sell a vacant site purchased 6 years back. To avail exemption under se
CS Professional · Advanced Tax Laws and Practice · PYQS · June 2018
State with brief reason, whether the following relate to tax planning, tax avoidance or tax evasion: Assessee has two residential houses. He wants to sell a vacant site purchased 6 years back. To avail exemption under section 54F, he gifts a residential house to his major son.
Answer & Explanation:
Gifting a house property to major son with a view to come within the eligibility norms of an exemption section is though legally permissible but is an act of Tax Avoidance .
Topics: Income Tax Act, 1961
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