VALUE ON STAMP PAPERS : 57,00,000
ACTUAL SALE CONSIDERATION: 30,00,000
INDEXED COST OF ACQUISITION:10,00,000
WHAT IS THE TAX IMPLICATION?
WHAT WOULD BE THE TAXABLE VALUE?
CA SUKSHAM ARORA (CA) (569 Points)
24 February 2014VALUE ON STAMP PAPERS : 57,00,000
ACTUAL SALE CONSIDERATION: 30,00,000
INDEXED COST OF ACQUISITION:10,00,000
WHAT IS THE TAX IMPLICATION?
WHAT WOULD BE THE TAXABLE VALUE?
Arpit Pachisia
(CA)
(734 Points)
Replied 25 February 2014
Hello Suksham,
Section 50C states that when a capital asset, being immovable property, is transferred for a consideration which is less than the stamp duty value adopted, assessed or assessable for the purpose of payment of stamp duty in respect of such transfer, then the stamp duty value is taken as full value of consideration under section 50C of the Income-tax Act.
Under your case,
Stamp value = 57,00,000
(-) Indexed value = 10,00,000
LTCG/STCG 47,00,000
So you will be taxed on Rs. 47,00,000.
Thank you
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