07 June 2012
hi my cousin uncle has property in india which he wants to sell.wants to know the tax implication for him. Some are telling tax will be applicable on sale consideration. so will it be sale consideration or capital gain and whether there is anyway for tax saving in this transaction and also whether any tds is applicable or any form under section 197 is to be submitted for lower deduction or non deduction of tax. kindly guide me...
08 June 2012
1. The sale of property is taxable under the head Income from Capital Gain. 2. Tax will @ 20% on capital gain. 3. Capital gain shall be computed as under:
Sale Consideration Less: Expenses on transfer Less: Cost of acquisition
If the asset is a long term capital asset, then Indexed cost of acquisition shall be reduced to arrive at the capital gain.
08 June 2012
hi my cousin uncle is stay in aboard has property in india which he wants to sell.wants to know the tax implication for him. Some are telling tax will be applicable on sale consideration. so will it be sale consideration or capital gain and whether there is anyway for tax saving in this transaction and also whether any tds is applicable or any form under section 197 is to be submitted for lower deduction or non deduction of tax. kindly guide me...
CAclubindia
