Hello sir , you can change the ownership on the name of your wife within the builder records and at the time of posession the builder can directly make a conveyance deed in the mane of your wife .. The change in records can be done through communicating and giving a authoritarian letter to the builder managment...
Under construction joint property held by NRI along with resident Brother
Hi, I'm a NRI, holding right now two under construction property (one in Noida extension & other Greater Noida yamuna express way) with my resident brother. (Still possession is pending) In first property my brother is primary owner & I'm secondary. In second property I'm primary & my brother secondary. For first property I transferred installments to my brother from my NRI account and then he paid to builder through cheque from his account. And second property i transferred only two installments to my brother from NRI account and then he paid to the builder through cheque from his account. Rest installments I transferred to the builder directly from my NRI account. And as this property cost is more than 50 lakhs I had deducted 1% TDS on all the installments paid to the builder under my Pan Card only but declared property as more than one owner. Now I want to register first property on my wife name at the time of possession and second property in my name alone. What would be the best way forward legally and to avoid any tax liability. And what are the documents required at time of possession. Alternative if I will sell both the property before possession then who will be liable for capital gain tax in both the property. While I'm the only person who paid all the amount. And how can I take money back in my NRI account.
Asked 8 years ago in Property Law
Religion: Hindu
9 Answers
First of all note that there is no difference between primary or secondary name holder as far as right, title and interest in the proeprty is concerned.
The name of the persons in the title deed irrespective of order of mentoning holds share equally unless other wise mentioned in the deed.
So to make a new person sole or part share holder in the proeprty the existing share holder will have to transfer there share shares through a registered deed of conveyance like deed of gift which attracts both stamp duty and registration fees.
So unless and until your brother consents your wife cannot be made sole or part owner of any of either of the properties.
Hi,
1. if you want to register the properties in the different names that is possible by the transfer of agreement to sale with the builder where your brother have to transfer the property in your name and the builder have no objection in transfer the property to the requested names.
2. If you sell the property the short term capital gain will be applicable at the rate of 20% and surcharge as per applicable slabs of income to all the share holders in proportion to the share.
Has sale deed been executed by builder in your joint names . Kindly clarify
2) if not you can request builder to register flat in your wife name
3) affidavit can be executed by you and your brother
4) for second property your brother can execute affidavit to register property in your name
5) builder may insist on execution of indemnity bond to register property in your workplace fe babe and your name
6) if sale deed ihas been executed by builder you can execute gift deed in your wife favour
7) if property has been held by you fir more than 2 years you can sell property and it would attract long term capital gains
1) If you want to transfer the first property on your wife's name only than you can do transfer of ownership rights and registered deeds you don't have to pay any tax on it, as here you're not selling property but transferring rights. And for second property its on your name so no tax.
2) If you are going to sell only your share than you will be liable for capital gain tax. If both owner are selling property then both have to pay capital gain tax.
The question is not about who paid for the property and how.
It is about the sale deed
Since both the properties have been registered on joint names, your brother becomes an equal shareholder in both the properties.
If his name has to be removed from the title document then he has to execute a registered gift deed in your favor in respect of his share in the property which you want to have only you as an absolute owner with clear and marketable title to you alone..
With regard to the other property to which you want your wife to become the absolute owner, you and your brother have to execute a registered gift deed jointly in her favor after which she will become an absolute owner with clear and marketable title to the property.
You have to talk to your brother about this and arrive at an amicable solution to this before proceeding as suggested.
You can transfer the first property by executing a gift deed duly stamped and registered in favour of your wife.
As both of you are co-owners, both will be liable for capital gains tax.
You can open NRE account to repatriate the funds after adjusting the tax.
1. It appears that you have booked those two properties and have entered in to agreement for sale.
2. Both the joint applicants should jointly write to the builder seeking the change of the names of the second holder in connection with both the properties and file two affidavits to that effect.
3. Since the said change of name is not by selling the shares to the third party by taking consideration, the builder should have no objection for the same and should not charge any amount for the change to be made in the allotment letter duly incorporating your wife's name and deleting your brother's name.
You will be taxed I'd you receiving the sale proceeds. Any income Wil be taxed once it can't be taxed doubled. So once it is taxed you can get the balance and use it
