Tax liability related

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Querist : Anonymous

Querist : Anonymous (Querist)

12 August 2014 KINDLY INFORM ME THAT I M PROVIDING BUSINESS AUXILIARY SERVICE AND IS DOING A LABOUR WORK THE TOTAL ANUAL BILL GOES TO AROUND 10 LAKH & IS FILLING RETURN UNDER SECTION 44AD SHOWING 8% INCOME . ALSO HAVING SERVICE TAX NO. FURTHUR TO THIS I HAVE RECEIVED RS.8,00,000/- FROM SALE OF MY FATHER JOINT FAMILY LAND IN CASH. WHETHER THIS AMOUNT WILL BE TAXABLE TO ME IF I PUT THE SAME IN FD OR DEPOSIT THE SAME IN MY BANK ACCOUNT. KINDLY GUIDE ME REGARDING LIABILITY IF COMES TO ME IF ANY IN THIS CASE. KINDLY GUIDE ME REGARDING TAX LIABILITY

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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12 August 2014 Receipts from sale of rural agricultural land is exempted from tax. You received it in cash, hence you have to check the value considered for stamp duty valuation. your share in the value considered for stamp duty will be exempted from tax and can be deposited in the bank, for the balance you have to pay tax and deposit in the bank.

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CA Deven

CA Deven (Expert)
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12 August 2014 Yes Gain on sale of land will be taxed under LTCG or STCG depending on the holding period of Land ..... Further you can invest the amount into Sec 54EC bond to avoid Tax liability

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Querist : Anonymous

Querist : Anonymous (Querist)

16 August 2014 DEAR DEVEN SIR WE HAVE SOLD 1 ACRE LAND WHICH WAS GIFTED TO MY FATHER IN AROUND IN YR 1950. NOW WE SOLD THE SAME FOR RS.65,00,000/- ONLY
THE SHARE WHICH I RECEIVE FROM THIS IS RS.15,00,000/- OUT OF WHICH I RECEIVED IS RS.8,00,000/- OF WHICH I HAVE REC. 4,00,000/- IN CASH. BALANCE CONSIDERATION WILL B RECEIVED BY MAR.2015. HOW MUCH TAX I WILL HAVE TO PAY FOR THE SAME. I M A LABOUR CONTRACTOR DOING LABOUR JOB AMOUNTING RS.900000/- N FILLING RETURN U/S 44AD WITH 8% PROFIT. KINDLY GIVE THE FIGURE OF TAX LIABILITY WHICH I HAVE TO BEAR.