Hi @Alex ,
Any property situated in India which is transferred shall give rise to Capital Gains irrespective of whether the person is Resident or Non-Resident.
- If the flat is sold which is acquired 10 years back, then it shall be a Long Term Capital Asset and Long Term Capital Gain/Long Term Capital Loss shall be calculated accordingly.
When an NRI gives gifts in the form of cash, cheque, items, or property to a Resident Indian who is a relative, both giver and receiver are exempt from tax in India.
- If the flat is gifted to his mother, then it shall be considered as a transfer to relative which is exempt from tax so there will be no capital gain implications.
You may refer the below guide on classification, calculations of Capital Gains arising from transfer of capital assets.