CApital Gain

This query is : Resolved

sandeep (Querist)
Follow

29 March 2010 We have sold our factory premises on 08-10-2009 for Rs. 22 Lacs which was purchased on 01-04-1991 for Rs. 5 lacs. The depreciated value of premises is 80000.00
What will be the capital gain payable for us. Our is proprietor concern.

Zeeshan

Zeeshan (Expert)
Follow

29 March 2010 If the depreciated value is as per Income Tax Act and there is no other building in the block then the Cap.gain will be 21.20 Lacs and it will be STCG.

Otherwise if there is any other factory building is there in the block then the sale proceed will be reduced from the Opening WDV of the block. if there is a surplus then it will be available for depreciation. if sales consideration is more than opening WDV then the balance will be STCG.