Tax Treatment on capital Gain to NRI

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laxman solanki (Querist)
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04 July 2009 Dear sir I have an query regarding Tax /TDS on sales proceeds received on sale of Comercial property by Non Resident in India.(property purchased during when he was resident ans sale proceeds not transmite in FC.)
Long Term Capital gain is Taxable.
1- pls answer the point as under-
2-Indexation benefit avaliable or not
3-Exemption benefit available u/s 54 EC /54F (if invest)
4- whether buyer will deduct the TDS ,if yes then at what rate.
5- whether NRI can apply for non deduction or Lower dedcution of TDS to ass.officer.
6-There is any scope to save capital gain tax

taxindiaconnect

taxindiaconnect (Expert)
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04 July 2009 The point wise reply is as below -

2-Indexation benefit avaliable or not - Yes
3-Exemption benefit available u/s 54 EC /54F (if invest)- Yes
4- whether buyer will deduct the TDS ,if yes then at what rate. - Yes, In case of country of residence of the of NRI has DTAA between India, the rate prescribed in DTAA otherwise @ 20%+ SC and EC.
5- whether NRI can apply for non deduction or Lower dedcution of TDS to ass.officer. - Yes
6-There is any scope to save capital gain tax - Yes as mentioned by you in point no3 above.