Capital gain

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

28 January 2014 From when will this period of holding for capital Gain be calculated - The assessee had invested in a new property and as per the buyer's agreement the property was to be handed over in May 2010, however, the same was handed over in November 2013. The assessee wants to sell this property - will this be long term or short term capital - if we take from what is mentioned in the buyer's agreement 3 yrs have passed, however, possession has been given only 2 months back. Kindly reply with case laws

AVTAR SINGH

AVTAR SINGH (Expert)
Follow

28 January 2014 When you take possession of the flat which you have agreed to purchase, the date of possession becomes important for computing long term capital gain. Therefore, if you are selling the flat after taking possession of the flat, the period of three years starts from the date of taking possession of the flat.