Capital gain on sale of shop

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 August 2012 Dear Sir,

i had purchased shop on march 2006,than i claimed depreciation on it up to march 2009,after i had given it on rent to other and i had obtained the benefit of that rent income under the head of income from house property up to 1st march 2012,amd than i sold the shop in 30th march 2012,

for period of march 2009 to 1st march 2012 i had not claimed depreciation on it

so my question is that at the time of sale capital gain arising onit is considered as short term capital gain ? or long term capital gain?

S Sivasalapathy

S Sivasalapathy (Expert)
Follow

24 August 2012 Shop was purchased on March 2006 & sold on march 2012. CG is treated as LTCG. CG is attracted for sale price over and above the purchase price. The diff between wdv & sale price is treated as business profit.

Querist : Anonymous

Querist : Anonymous (Querist)

24 August 2012 Dear Sir,

But we already claim depreciation than also LTCG

As per my opinion it is Short term Capital Gain

Upgrade to CAclubindia Pro. Subscribe Now!