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Capital gain

S P Sahu (CA Industrial Training) (101 Points)

04 July 2014

Hi Frnds,

frnds m lttl bit confused while calculating capital gain..the problem is..

Mrs.A who sold flat on Feb.2014 for Rs.75 Lakhs which is bought by her husbend Mr.B on March 2005 for Rs.17.52 Lakhcs with Loan from bank was Rs.8.5Lackhs, Mr.B died on 2008 and the o/s loand paid by Mrs.A on feb.2014 is Rs.7.5 Lakhs.

Out of the Amt of Rs.75Lakhs paid TDS Rs 75K and FD or Rs.15.60 Lakhs with Highcourt for Minor(her son-age10 year) which highcourt give to her son when he wl b major. Paid Rs.10 Lakhs to Mother in law to get NOC from them bcs there was no nominee for this flat.

So frnds this is the case given above.

please suggest what wl be the solution....how much capital gain and wht amt.to invest under sec.54 to save capital gain.

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neeraj yadav (assistant) (21 Points)
Replied 04 July 2014


	Hi Frnds, frnds m lttl bit confused while calculating capital gain..the problem is.. Mrs.A who sold flat on Feb.2014 for Rs.75 Lakhs which is bought by her husbend Mr.B on March 2005 for Rs.17.52 Lakhcs with Loan from bank was Rs.8.5Lackhs, Mr.B died on 2008 and the o/s loand paid by Mrs.A on feb.2014 is Rs.7.5 Lakhs. Out of the Amt of Rs.75Lakhs paid TDS Rs 75K and FD or Rs.15.60 Lakhs with Highcourt for Minor(her son-age10 year) which highcourt give to her son when he wl b major. Paid Rs.10 Lakhs to Mother in law to get NOC from them bcs there was no nominee for this flat. So frnds this is the case given above. please suggest what wl be the solution....how much capital gain and wht amt.to invest under sec.54 to save capital gain.

Period of holding of land is Long term. Cost of Acquisition of Land in the hands of Mrs A, should be cost of Acquisition to the perivous owner and Amount of Loan repaid by him should be considered as Cost of improvement.