PROPGUIDE − A Complete Property Guide
#happyhome

An Explainer: Benami Transactions

Loading video...

Description

A Persian term that loosely translates into “something that does not have a name”, benami assumes a different connotation when we speak of it for property transactions. In a benami property transaction, the main beneficiary uses the name of a proxy to reap all the profits, without having to pay the required taxes. While unaccounted transactions are a method often used across segments, properties are the most popular asset class for high-networth individuals to park their money in. As taxes on such transactions are high, benami transactions are initiated to evade them. Due to such transactions, the government suffers a huge revenue hit every year while the data on market activity remains elusive.

To curb this menace, the Benami Transactions (Prohibition) Amendment Bill, 2015, was recently approved by Parliament. Now, for engaging in such transactions, you could face a jail term of as many as seven years while losing your ownership over the property. After implementation, the new law will bring the much-needed transparency in the real estate sector and help the government realise the full revenue potential of immovable assets.

Tags: Real Estate Terms, Parliament, Video, Term Of The Week, propguide


#WeeklyNewsRoundup: I-T Dept Identifies 400 Benami Transactions

Here are the week’s top stories from the real estate sector.

May 27 2017

+ Click Here To Read This Article

#RealtyNewsRoundup: Building Plans Will Be Approved Online In Bengaluru

Here are today’s top news stories from the real estate sector.

March 27 2017

+ Click Here To Read This Article

#RealtyNewsRoundup: HUPA To Probe PMAY Fraud Cases [Video]

Here are today’s top news stories from the real estate sector.

March 21 2017

+ Click Here To Read This Article

An Explainer: Income From House Property

PropGuide simplifies complex real estate jargons for you.

June 15 2016

+ Click Here To Read This Article

An Explainer: Sanctioned Plan

PropGuide simplifies complex real estate jargons for you.

June 08 2016

+ Click Here To Read This Article

An Explainer: Planned Area

PropGuide simplifies complex real estate jargons for you.

June 01 2016

+ Click Here To Read This Article

An Explainer: Allottee

PropGuide decodes complex real estate terms for you.

May 25 2016

+ Click Here To Read This Article

An Explainer: Internal Development Work

PropGuide decodes complex real estate jargons for you.

May 18 2016

+ Click Here To Read This Article

Here are some practical ways to deal with property-related issues.

Here are the day's top news stories from the real estate sector.

The National Highways Authority of India will begin work on the remaining eight-km long stretch of...

The Pradhan Mantri Awas Yojana (Urban) is useful for you even if you or your parents already own a...

The Goods And Services Taxes has clearned a proposal to charge a cess of 15 per cent on luxury cars...

The state Legislative Assembly has amended the Maharashtra Stamp Duty Act to increase the charges...

Expecting the arrival of an airport, real estate developers have invested heavily around Jewar....

As the completion date of the Southern Peripheral Road nears, PropGuide on how the new corridor...

A building code is a set of norms that govern construction of buildings by stipulating minimum...

PropGuide simplifies complex real estate jargons for you.

Prime lending rate is the interest rate at which banks lend to its most credit worthy...

Proptiger has released it's quarterly review report on India's real estate sector. Ankur Dhawan,...

Subscribe Now

To stay tuned with real estate updates

Pick:

x +

Drop Your Query Here


Top