Regarding Capital gain of NRI
This query is : Resolved
19 December 2024
Respected Colleagues,
One of my known NRI , now UK citizen having property in india earned rental and filing ITR under income from house property under NRI Status,
Now my first ques is, if same person sold residential property and then reinvest in residential property as per sec 54 of IT act is eligible to claim benefit of sec 54 to exempt capital gains?
Second ques is, if same person without reinvest in property repatriate funds to foreign after payment capital gain tax, then how much % of tax on cap gains with surcharge & HEC?
Third ques is, if person earned income from rental and gains from property sale in india (Already disclose in Indian ITR), then Is he also liable to add income in UK ITR to compute taxes and treat his income from india as per treaty between the countries?
Regards
One of my known NRI , now UK citizen having property in india earned rental and filing ITR under income from house property under NRI Status,
Now my first ques is, if same person sold residential property and then reinvest in residential property as per sec 54 of IT act is eligible to claim benefit of sec 54 to exempt capital gains?
Second ques is, if same person without reinvest in property repatriate funds to foreign after payment capital gain tax, then how much % of tax on cap gains with surcharge & HEC?
Third ques is, if person earned income from rental and gains from property sale in india (Already disclose in Indian ITR), then Is he also liable to add income in UK ITR to compute taxes and treat his income from india as per treaty between the countries?
Regards
19 December 2024
1. Yes.
2. 12.5% +surcharge + Cess (assuming holding the property more than 2 years)
3. Yes, but he will get rebate for taxes paid in India.
2. 12.5% +surcharge + Cess (assuming holding the property more than 2 years)
3. Yes, but he will get rebate for taxes paid in India.
Message likes :
2 times
19 December 2024
Thank you for your valuable reply sir,
and one more ques is, if same person suppose with ex: Sale consideration 1 crore of property sold and cost of acq. suppose 80 lakhs and calculate 20 lakhs as capital gains from property sold but whole 1 cr reinvested in residential property within 2 years for claiming exemption u/s 54, Is he liable still 20 lakhs to shown in UK ITR as capital gains? or if he reinvest only 20 lakhs in property for claiming exemption u/s 54, then in this case also to to show in UK ITR?
plz guide
and one more ques is, if same person suppose with ex: Sale consideration 1 crore of property sold and cost of acq. suppose 80 lakhs and calculate 20 lakhs as capital gains from property sold but whole 1 cr reinvested in residential property within 2 years for claiming exemption u/s 54, Is he liable still 20 lakhs to shown in UK ITR as capital gains? or if he reinvest only 20 lakhs in property for claiming exemption u/s 54, then in this case also to to show in UK ITR?
plz guide
19 December 2024
In either case NRIs must declare foreign income, including capital gains from Indian properties, on their tax returns in their country of residence, understanding that they might not owe additional tax if they qualify for a foreign tax credit or other relief under the relevant tax treaty, but full disclosure is required.
19 December 2024
Ok sir thank you so much.....
20 December 2024
You are welcome.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- DISA NOTES
- E invoice and ewaybill
- Tax invoice issaunace
- MONEY BACK FROM AGEAS FEDERAL INSURANCE POLICY
- Refund claimed in belated return filed not received fully
- COA Mapping_GCC
- ITC being temporarily reversed and accumulation
- Need Opinion of Income Tax Appeal Expert
- 194C vs 194H for labour supply charges
- Exam Centre in Satara
Trending Online Classes
CAclubindia
