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Capital gain

10 January 2021

one person buy a residential plot in the year 2002 in his name of rupees 200000 only thereafter he sold this plot to different persons. the sale deed of such plot was registered at different name, this plot was sold at 2 lakh each. how can I calculate capital gain, what can I do for save the capital gain.

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4 Replies

Priyank Nema (Bhopal) (100 Points)
Replied 10 January 2021

For calculation of capital gain total sale Rs.400000 and calculate indexation according to the date of different person sale

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CA. Sourav Sarkar (Chartered Accountant ) (24583 Points)
Replied 10 January 2021

Capital gain should be calculated for different properties each valuing 200000 rupees accordingly by taking indexation values

Kapadia Pravin (17259 Points)
Replied 10 January 2021

First of all you calculate Plot value of each part of the plot by dividing 200000 into number of parts. If sub-plots are say 4 then each sub-plot is of value 50000/-

Now you calculate capital gain accordingly . Apply indexation.

sabyasachi mukherjee (27574 Points)
Replied 11 January 2021

Capital gain arises on transfer or sale of capital asset

SEC 2(14) defines capital asset as property of any kind which is moveable tangible or intangible held by an assesse including property of his business or profession any securities held by a foreign institutional investor in accordance with sebi regulations but excludes certain specified assets.

Now here the querist wants to know capital gain on transfer of land.
Capital Gain arises on transfer of capital asset.
please mention dates.
its essential to be more accurate.