Capital gain

Tax queries 461 views 2 replies

K.Senthil Raja

Practicing Chartered Accountant

32 Points Joined March 2009

My client is private limited company based at Chennai. They are in the service industry and they are having a vacant land of 15 acres in UP. They want to sell the land and would like to purchase a land and building in Chennai for the purpose of shifting their office as they are now in the rented premises. What about the Capital Gain implications on the above transfer? Is there any exemption for the above transfer?

Replies (2)

Vinod Ram

C A

165 Points Joined April 2012

Hi Senthil,

I am small business owner myself. Before heading out, I did extensive research online. I came across this site: https://smallbusinessindia.intuit.in/. This site discusses practically everything under the sun on small businesses. You should check this out. It will definitely come handy.

Giridhar S Karandikar

Team Lead

7558 Points Joined November 2011

I dont think that the co would get any exemption by purchaseing a new land or building, as the land that was sold was vaccant abd had not being used ofr industrial purposes. had the same being used for industrial purpose & as you have said, teh office is being shifted to a new premises, then exmeption u/s 54g could have been availed.