Date of capital gain

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Querist : Anonymous

Querist : Anonymous (Querist)

08 April 2012 How to decide the date of agreement of purchase in the following case
1. date of agreement 3rd April 2012
2. Stamp duty paid 1st April 2012
3. Possession of flat given on 2nd April 2012
4. Consideration payment given is on 2nd April 2012
5. What is the date to be consider for calculation of capital gain?

CA Prashant Gupta

CA Prashant Gupta (Expert)
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08 April 2012 Date of payment & possession is same, hence 2nd April will be considered.

Otherwise, date of possession or date of agreement which ever earlier will prevail.

CA Prashant Gupta

CA Prashant Gupta (Expert)
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08 April 2012 Date of payment & possession is same, hence 2nd April will be considered.

Otherwise, date of possession or date of agreement which ever earlier will prevail.

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Querist : Anonymous

Querist : Anonymous (Querist)

08 April 2012 in agreement only difference amt is paid by one party to another party.

In a such situation hoe to calculate full value consideration?

is it to take base for the calculation for the stamp duty valuation as per the ready recknor?

Asha Kanta Sharma online

Asha Kanta Sharma

(Expert)
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20 July 2024 In the scenario provided, where various dates related to a property transaction are mentioned, the key date for determining the date of agreement for the purpose of calculating capital gains tax is generally the date mentioned in the registered agreement of purchase.

Here’s how you can interpret the dates given:

1. **Date of Agreement**: 3rd April 2012 - This is the date when the agreement of purchase was signed by both parties and legally executed.

2. **Stamp Duty Paid**: 1st April 2012 - Stamp duty is paid typically when the agreement is executed or shortly thereafter. This date indicates compliance with stamp duty requirements.

3. **Possession Given**: 2nd April 2012 - Possession of the flat was given to the buyer on this date.

4. **Consideration Payment**: 2nd April 2012 - The consideration payment (part of the total agreed price) was given on this date.

Considering these points:

- **Date of Agreement**: 3rd April 2012 is the date when the agreement was executed and legally binding between the parties. This is crucial because it establishes the legal framework of the transaction.

- **Stamp Duty Paid**: While stamp duty payment on 1st April 2012 is important for compliance, the actual agreement date (3rd April 2012) is more relevant for determining the capital gains tax implications.

- **Consideration Payment**: Payment of part of the consideration on 2nd April 2012 is part of the transaction process but doesn’t necessarily change the date of agreement.

For the calculation of capital gains tax:

- The full value consideration would typically be based on the total amount agreed upon in the registered agreement dated 3rd April 2012.

- The stamp duty valuation (as per the ready reckoner or circle rates) is used to determine the minimum value for which the property should be registered and does not necessarily affect the date of agreement for capital gains tax purposes.

**Conclusion:**
The date of agreement for calculating capital gains tax in this case would be 3rd April 2012, which is the date when the agreement of purchase was signed and legally binding. This date is crucial for determining the cost of acquisition for the purpose of calculating capital gains tax.