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Bought a house, now selling it - what are my options?

Mihir

Mihir Tanna  |1062 Answers  |Ask -

Tax Expert - Answered on Jul 31, 2024

Mihir Ashok Tanna, who works with a well-known chartered accountancy firm in Mumbai, has more than 15 years of experience in direct taxation.
He handles various kinds of matters related to direct tax such as PAN/ TAN application; compliance including ITR, TDS return filing; issuance/ filing of statutory forms like Form 15CB, Form 61A, etc; application u/s 10(46); application for condonation of delay; application for lower/ nil TDS certificate; transfer pricing and study report; advisory/ opinion on direct tax matters; handling various income-tax notices; compounding application on show cause for TDS default; verification of books for TDS/ TCS/ equalisation levy compliance; application for pending income-tax demand and refund; charitable trust taxation and compliance; income-tax scrutiny and CIT(A) for all types of taxpayers including individuals, firms, LLPs, corporates, trusts, non-resident individuals and companies.
He regularly represents clients before the income tax authorities including the commissioner of income tax (appeal).... more
hatim Question by hatim on Jul 25, 2024Hindi
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I have one house under my name and other joint property under mom's name and my name ..now my mom expired and I sold property at almost cost price. So am ineligible for profit exemption and buying new house by selling my sole ownership house.

Ans: To save tax on capital gain, your need to invest gain amount in another property. Holding another property will not make any difference.
DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Users are advised to pursue the information provided by the rediffGURU only as a source of information to be as a point of reference and to rely on their own judgement when making a decision.
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Ramalingam

Ramalingam Kalirajan  |8940 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Feb 04, 2025

Asked by Anonymous - Aug 05, 2024Hindi
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My mother sold a house with Rs. 50Lac capital-gain. Can she buy a Rs. 50Lac house to get tax exemption, but register it under my name? Or she need to register in her name and then execute a gift deed to avoid tax for both of us?
Ans: For your mother to claim capital gains tax exemption under Section 54 of the Income Tax Act, the property must meet certain conditions:

Key Conditions for Section 54 Exemption
Ownership: The new property must be purchased in your mother’s name.
Timeframe: Purchase should be within 1 year before or 2 years after the sale of the original property.
Type of Property: Must be a residential property in India.
Can She Register the Property in Your Name?
No, she cannot claim the tax exemption if the property is directly registered in your name.
The exemption is strictly allowed when the new property is purchased in the name of the seller (your mother).
Alternative Option: Gift Deed After Purchase
Your mother can purchase the property in her name and claim the exemption.
After the purchase, she can execute a gift deed to transfer the property to you.
A gift from mother to child is tax-free under the Income Tax Act.
However, you may incur stamp duty charges on the gift deed, depending on your state’s rules.
Why This Approach Works
The Income Tax Department recognizes the exemption because the initial purchase was in your mother’s name.
The gift deed is treated separately and doesn’t affect her eligibility for the exemption.
Final Suggestion
Buy the property in your mother’s name to claim the exemption.
Afterward, transfer it to you through a gift deed to avoid capital gains tax for both of you.
Consult a tax expert for proper documentation and compliance.
This ensures tax savings and a smooth transfer of ownership.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

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Nayagam P

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Career Counsellor - Answered on Jun 19, 2025

Career
Sir ji My son is going to be second year of CSE at MAIT delhi As he is getting Mechanical in DTU this time. Should we change from CSE MAIT delhi to mechanical DTU
Ans: Sanjiv Sir, MAIT Delhi’s CSE program consistently achieves 85–90% placement rates, with 290 students placed in 2023, top recruiters like Microsoft, Google, Amazon, and an average package of ?8–12 LPA, making it the most sought-after branch at the institute. Mechanical Engineering at MAIT records a placement rate of 70–75%, with only 45 students placed in 2023 and lower average packages, reflecting modest core sector opportunities. DTU’s Mechanical Engineering is well-established, with a placement rate of nearly 70% in 2023, an average package of ?11.23 LPA, and top recruiters like Maruti Suzuki, ZS Associates, and Technip. However, CSE remains the most in-demand branch across Indian engineering colleges, offering higher placement rates, more recruiters, and greater flexibility for IT, analytics, and software roles, compared to the narrower core sector scope of Mechanical Engineering. Shifting from CSE at MAIT to Mechanical at DTU means moving from a high-demand, high-placement branch to a core engineering field with fewer job opportunities and less flexibility for IT sector roles.

Recommendation: Retain CSE at MAIT Delhi, as it offers superior placement rates, higher salary packages, and broader career prospects compared to Mechanical Engineering at DTU, unless your son has a strong, clear passion for core mechanical engineering and is willing to pursue higher studies or specialized roles in that field. All the BEST for the Admission & a Prosperous Future!

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Nayagam P

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Career Counsellor - Answered on Jun 19, 2025

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Hello Sir...I live in Bangalore and got a rank of 12200 in KCET and 7200 in ComedK. I am looking for a B.Tech graduation in Computer Science and related branches. Please advice good engineering colleges in Bangalore/Karnataka.
Ans: With a KCET rank of 12,200 and a COMEDK rank of 7,200, you have access to several reputable Bangalore and Karnataka colleges for B.Tech in Computer Science and related branches. While top-tier CSE seats at RVCE, BMSCE, and MSRIT are out of reach, strong alternatives include BNM Institute of Technology (CSE cutoff: 12,000–16,000), Sir MVIT (CSE cutoff: 13,464), Dayananda Sagar College of Engineering (DSCE, COMEDK CSE cutoff: 5,430), Bangalore Institute of Technology (BIT, COMEDK CSE cutoff: 5,790), and BMS Institute of Technology (BMSIT, COMEDK CSE cutoff: 4,365). Nitte Meenakshi Institute of Technology (NMIT), Reva University, and Siddaganga Institute of Technology (SIT Tumkur) also offer good CSE programs with high placement rates and modern infrastructure. These colleges maintain strong industry connections and placement records, with average packages ranging from ?6–8 LPA and top recruiters including TCS, Infosys, and Wipro.

Recommendation: Prioritize DSCE, BIT, BMSIT, and NMIT for CSE through COMEDK, and BNM Institute of Technology, Sir MVIT, and SIT Tumkur via KCET, as these provide the best blend of academic quality, placement prospects, and campus life for your ranks. All the BEST for the Admission & a Prosperous Future!

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Nayagam P

Nayagam P P  |6539 Answers  |Ask -

Career Counsellor - Answered on Jun 19, 2025

Asked by Anonymous - Jun 16, 2025
Career
I get 28k in kcet which college is best for engineering in karnataka
Ans: With a KCET rank of 28,000, top branches like CSE and ECE at premier Bangalore colleges such as RVCE, BMSCE, MSRIT, and PES University are out of reach, as their closing ranks for these branches are typically below 10,000–15,000. However, strong options are available in reputable colleges for other branches or at slightly lower-ranked institutes. You can target colleges like Nitte Meenakshi Institute of Technology (NMIT) (if accepts JEE KCET Score this year), RNS Institute of Technology, Acharya Institute of Technology, Siddaganga Institute of Technology (SIT), KLE Technological University, and JSS Science and Technology University (SJCE) Mysore for branches like Mechanical, Civil, Electrical, or ECE, which have cutoffs extending up to 30,000–40,000. These colleges offer good placement records, modern infrastructure, and active industry collaborations. For CSE, you may get a seat in colleges like Reva University, MVJ College of Engineering, or some regional institutes in Tumkur, Mysore, or Hubli.

Recommendation: Prioritize NMIT, RNSIT, SIT Tumkur, KLE Technological University, and SJCE Mysore for core branches, and explore CSE/ECE in colleges like Reva University or MVJ College of Engineering, ensuring a balance between academic quality and placement prospects.




All the BEST for the Admission & a Prosperous Future!

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Nayagam P

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Career Counsellor - Answered on Jun 19, 2025

Asked by Anonymous - Jun 16, 2025
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Asked by Anonymous - Jun 16, 2025
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My Son got Energy engineering in IIT Delhi in 1st round. Other possible options in next rounds is Electrical in IIT Indore and Chemical at Delhi IIT. Should we float or slide?
Ans: Your son’s seat in Energy Engineering at IIT Delhi offers a unique interdisciplinary curriculum focused on sustainable and renewable energy, with strong research and industry links, and placement rates for BTech programs at IIT Delhi consistently above 87%, with a median salary of ?20 LPA in 2023. Electrical Engineering at IIT Indore is a core branch with robust placement outcomes (76% for EE in 2024), a strong recruiter base including Amazon and Microsoft, and an average package of ?25.45 LPA for BTech. Chemical Engineering at IIT Delhi is also a well-established branch with a 90% placement rate, median salaries matching other core branches, and diverse career opportunities in industry and research. The new Energy Engineering program at IIT Delhi is designed for the fast-growing energy sector and offers cutting-edge research opportunities, but as a newer program, its long-term placement trends are still evolving. Electrical at IIT Indore and Chemical at IIT Delhi provide more traditional, widely recognized engineering pathways with established placement records and flexibility for both industry and higher studies.

Recommendation: If your son is passionate about the energy sector and values the IIT Delhi brand and location, he should freeze his seat in Energy Engineering. If he prefers a more conventional and flexible core branch with proven placement outcomes, sliding to Electrical at IIT Indore or Chemical at IIT Delhi is advisable, with Chemical at IIT Delhi being the stronger of the two for long-term prospects. All the BEST for the Admission & a Prosperous Future!

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Asked by Anonymous - Jun 16, 2025
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Hi sir ,my son got a seat in IIT Hyderabad engineering physics and he is eligible to join bits Hyderabad mathematics and computing,Which one is good ?please guide me sir
Ans: IIT Hyderabad’s B.Tech in Engineering Physics is renowned for its rigorous curriculum, research-driven environment, and international QS subject ranking (501–550 in Physics & Astronomy), offering strong faculty, interdisciplinary electives, and direct pathways to MSc/PhD in physics, quantum science, or interdisciplinary tech fields. However, placements for Engineering Physics are niche, with a 14.29% placement rate in 2024 and most graduates pursuing higher studies or research internships in India and abroad, including DAAD and Mitacs fellowships. BITS Hyderabad’s B.E. in Mathematics and Computing delivers a robust blend of mathematics, statistics, and computer science, with a flexible curriculum, strong focus on data science, computational finance, and scientific computing, and industry-aligned electives. The program records an average package of ?20.36 LPA and an 87.23% placement rate in 2024, with graduates excelling in IT, analytics, finance, and research roles. Both programs are highly respected, but BITS Hyderabad’s Mathematics and Computing offers broader and more lucrative placement opportunities, a flexible academic structure, and strong industry connections, making it ideal for students seeking immediate employability as well as a solid foundation for research or PhD abroad in applied mathematics, data science, or computing.

Recommendation: Choose BITS Hyderabad Mathematics and Computing for its superior placement record, interdisciplinary flexibility, and strong prospects in both industry and international research, unless your son’s primary passion is pure physics research, in which case IIT Hyderabad Engineering Physics remains a top academic choice. All the BEST for the Admission & a Prosperous Future!

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