Capital Gain

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Shashi Bhushan (Learner, Jalandhar) (996 Points)
Replied 02 December 2009

this treatment is according to accounts.

We were discussing according to income tax.

Chandresh (ARTICLE CLERK) (69 Points)
Replied 02 December 2009

TREATMENT WILL BE DONE IN THE FOLLOWING WAYS

A)IF NO SOURCE OF BIFURCATION IS AVAILBLE, TREAT FULL VALUE AS SALE CONSIDERATION

LESS: WDV OF BULDING AT THE TIME OF SALE (WHICH IS NIL)

LESS: INDEXED COST OF LAND

=LONG TERM CAPITAL GAIN

B)WITH PROVISO TO SEC 50C STAMP DUTY VALUE OF LAND AND BUILDLING WILL BE CONSIDERED AS SALE CONSIDERATION

SALE CONSIDERATION (LAND) SALE CONSIDERATION (BLDG)

LESS:INDEXED COST OF LAND LESS: WDV OF BLDG (NIL)

= LONG TERM GAIN = SHORT TERM GAIN

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