Capital Gain on Shop acquired under Gift

This query is : Resolved

CA Sanjay Baheti (Querist)
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25 November 2010 One of My client being an Individual has acquired a Shop under Gift from His elder Brother in year 2004-05 for Rs.700000/-
Previously his brother was constructed the said Shop in 2000-01.

Now the said Gifted Shop is sold in Year 2010-11 for Rs.1200000/-

Now the query is as
i)From which year the indexing is to be counted ie year2000-01 or 2004-05.
ii)If the capital gain as long term from sale of Shop after indexing is invested in Another ready Shop whether the same can be exempted u/s 54F or not
or he liable for capital gain tax.

CA Punit

CA Punit (Expert)
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25 November 2010 indexation shall apply from 2004-05

shop is not a residential house property eligible for exemption u/s 54F

still wait for more opinions

Aditya Maheshwari

Aditya Maheshwari (Expert)
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25 November 2010 1. Indexation shall apply from 2004-05
2. exemption u/s 54F could be taken if residential property purchased only.

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CA.ViVeK M ACA

CA.ViVeK M ACA (Expert)
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25 November 2010 As far as Indexation is concerned the year in which Assesses received the gift will be taken in to the consideration. Hence for the year 2004-05 will be taken in to the consideration.

No exemption shall be availed under 54 F