I have this query in capital gains chapter.....a residential house was sold for Rs.25 lakh in the fy 08-09 the land was acquired in the fy 94-95 and the building was constructed in the fy 96-97 . My query is while calculating the capital gains the indexed cost of acquisition of house how it will be calculated .
will there be two indexation , one on land in fy 94-95 and other on 96-97 or combined the cost of land and construction and indexation of 96-97 on it done??/ please guide in this regard.
seperate indexation
case reference cit vs cr subramaniam
it was held that land and building were seperate assets for the purpose of computing capital gain..
tks for the reply ...but i have read the case ...it states to apportion the sales consideration between land and building.... but when no apportionment is there...and in the question it is given ....then can it be taken combined??....this question came in pcc tax exam/.,,,
CAclubindia
