Capital gain

This query is : Resolved

SAMIR SHAH (Querist)
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05 June 2014 purchase of tenancy building with 1 flat and tenants on 16/03/1985 Rs.20 lacs
building going for redevelopment
agreement with developer on 28/04/2006
amount received towards bldg ownership and a flat to be given against the flat
possession of flat on 25/7/2013
sale of flat on 04/06/2014
query:- what will be consider the date of acquisition and what would be consider as cost of acquisition.

Amol S Joglekar

Amol S Joglekar (Expert)
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05 June 2014 25/07/2013 shall be the date of acquisition. The cost of acquisition shall be the amount you claimed as full value of considerato at the time computation of capital gain for the transfer of tenancy building of 16/03/1985. (if you have not shown the same....take fair market value as the cost of acquisition)

SAMIR SHAH

SAMIR SHAH (Querist)
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05 June 2014 wont the date of acquisition be considered as 16/03/1985 since the flat that he is to sell now is received against the flat he had in that building and was staying there from 1985 to 2006 and had to shift as the redevelopment was to go on.

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Amol S Joglekar

Amol S Joglekar (Expert)
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05 June 2014 No, the assets are different. The first asset is extinguished (transfer as per the Income Tax Act)The new asset is the flat in redevelopement along with the sum you received....your views requested