05 August 2008
I had bought a under construction in mumbai in July 2004 (Registration / agreement date)and fully paid to the builder. The possession however was taken in the month of Mar 2006 after recieving the possession letter from the builder. I currently stay in the same house. I plan to sell this house now (Aug 2008) and invest the entire net proceeds into buying another house and wish to move there. Need to know 1) Whether I would fall under the capital gains taxation or not? 2) Is the buying /selling date from the date of registration (agreement) or from the date of possession? Thanks and Regards, Gagan Tandon
06 August 2008
The date of acquisition in ur case shall be date of possession,i.e, March,2006 and the gain arising from the sale of house in August,08 shall be Short Term Capital Gain. short Term Gain shall be subjected to tax with ur other income at normal tax rates.
CAclubindia
