TaxSavvy

ITR

Property sold below the stamp duty value

Updated . Every paid answer is checked by a CA. Free AI answers are labelled until a CA verifies them.

Find

For land or building, if stamp duty value is more than 110% of the sale price, the stamp value is taken as sale consideration. If it is within 110%, the actual price is accepted. You can dispute the stamp value before a valuation officer.

Provisions

Sec 50C (now Sec 78); Sec 112 (now Sec 197)

Analysis

Here ₹70 lakh is about 117% of ₹60 lakh, above the 110% limit, so Sec 50C (now Sec 78) makes you report ₹70 lakh. Schedule CG has a field for stamp duty value. If the stamp value is unfair, you can claim reference to a valuation officer in assessment. If the sale agreement was signed earlier with an advance by bank, the stamp value on the agreement date may be used.

Close

  1. Check the stamp duty value on the deed.
  2. Compare it with 110% of the sale price.
  3. Report the higher value if the test fails.
  4. Keep agreement and payment records for the date rule.

Connect now

A Savvy replies in minutes.

Fixed price before you pay. Your Savvy is paid only after you accept the work.

Connect nowPay and start: Income tax return with capital gains, ITR-2, ₹2,499

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.

People also ask