government VALUE of property IS HIGHER THAN THE REAL VALUE.

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  1. RAAPP

    RAAPP New Member

    Hi,
    My grandfather established an industry in 1989,its a limited company where 100% of the share holders are family members and friends of his.Total share value was 90 lakhs that time(1989).We ran into losses and sold the machinery in 2010 . It is a dead asset now,the construction and the compound was vacant from last 7 years. so we planned to gift it to one of our family member as his share in the joint family, all share holders are ok with it.

    But the problem is that they don't have that much cash to buy the property. As the current government value of the property is 6 crores, which is twice the value of real price.Real price is less than 3 crores.

    Question :Is it wrong to sell the share of whole property to my family for free or a negligible amount of 50 lakhs....because we are not literally selling and making profit out of it. it is kind of gifting or giving his share to him.
     
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