Q. Is it essential to take permission from the Income Tax authorities if one wants to purchase any immovable property?

Ans. Under Section 269UC of the Income Tax act, there is no need to seek permission for transfer of immovable property.

Q. What formalities are to be performed, mentioned under the Indian Income Tax Law, before selling any commercial or residential house property?

Ans. If the value of the property to be sold is more than 5 lakh, then in that case you must seek permission from income tax department under section 230A.

Q. Is there any added bonus provided by Indian Income Tax Act on purchase of residential property by taking finance either from banks or any financial institutions?

Ans: There are provisions to claim benefit under section 88, for the principle repayment. Interest on loan is deductible under section 24 from the income obtained from house property.

Q. What are the tax implications of sale of any commercial or residential house property?

Ans.You are obliged to pay tax on profit coming from sale of a house property under the head Capital Gain.

Q. Under the Income Tax Act, what is the meaning of the term Residential Status?

Ans. Under the Income-tax Act, 1961, the three residential status defined are :

• Resident and Ordinarily Resident (ROR)
• Resident but Not Ordinarily Resident (RNOR)
• Non-Resident Indian (NRI)

Q. Are incidental charges like registration fees, stamp duty, brokerage and other charges coming from sale of property deductible from profit arising on sale?

Ans. These expenses are allowed from the full value of consideration of the sale of house propert