Registration Info

Hi guys,

I am back to pick your brains

I need some advice and/or information about registration process in Chennai for LANDS.

I have this scenario:

The landscape owners, we know of them in a personal level. They had requested if we split $10K from the actual cost to be given out as a gift to their kids here in USA. We don't have any reservations on how to pay them. My questions are:

(1) Now, during registration, will it be minus the $10K value?
(2) Is it legal and appropriate to do this kind of splitting?


I just had a call from them, so my ming wandering.. Please let me know :) may be these inhibitions of mine are just silly and no need to worry about :)

Hi

Im of the opinion that nothing to worry about it . Sort of adjustments. Since you know him at personal level, there is no risk at all.

hi Nandu,
The registration value will be shown at actuals unless you involve a bank. so you dont have to worry. It is definitely not legal. But since gift is exempted from tax, they are trying to avoid paying income taxes by doing this.

Nandu,

Though i am sure you would have completed the process, i just thought i will reply which could help others.

Most of the prevailing sales are at premium. when i say premium, I mean they will be 2 or 1.5 and sometimes 3 times the existing guidelines value. As long as you this amount is paid in india, you will not have any problem.

Whereas it will be a problem for the person who sells. According to the RBI laws he has invest it back in bonds or property to a certain extent.