CA Atihash Agarwal (CHARTERED ACCOUNTANT) (187 Points)
24 June 2014Mr X was alloted a plot in the year 2005 for Rs 1,00,000/-. Later on, from time to time, he paid Rs 12,00,000/- for the plot.
IN 2014, he made the final payment and the registry was done in his name.
In the next month, he sold the plot.
My query is, what will be the year of acquisition of the plot, whether it would be 2005 in which the plot was allotted or the year 2014 in which the resgistry was done.
Kindly advise.
Mihir
(Wealth Manager)
(5293 Points)
Replied 24 June 2014
I think cost of acquisition shall begin from 2005, and each payment made during these 9 years (from 2005 to 2014) shall also be considered as cost of acquisition and indexed according to the year of payment.
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praveen
(Chartered Accountant)
(6971 Points)
Replied 24 June 2014
Indexed cost of acquisition has to be computed from the year in which the payment of done.
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