24 October 2010
Dear Sir, I am an NRI who has bought an under construction residential property in India in Jan 2008. I want to sell the same now. Please advice what will be the date of purchase considered ie the date of the agreement or the date of the final handover of the house to me. So when will this property be considered as long term capital assets and what will be the tax rates in case it is considered to be short term capital asset. In case if the sale value is more than75 lakhs do I need to take any Income tax clearance.
25 October 2010
The date of transfer/acquisition of an immovable property should be taken as on the date of its actual possesion to the buying party or the date of its registration ,whichever is earlier.
Further regarding Income Tax clearance, I THINK, not sure, no Income Tax approval is required.
CAclubindia
