Ajay (abc) (24 Points)
29 July 2008Hi,
I am not from the tax or related profession, but need help from expert. My father has passed away before three years back. I have inherited the shares he had. But I do not have any idea about the purchase price which is required for calculating long term capital gain. How should I calculate long term capital gain which I am supposed to show on my IT return.
Thanks
Ajay
Sneha R. Gujrathi
(Chartered Accountant)
(97 Points)
Replied 29 July 2008
| Originally posted by :Ajay | ||
| " | Hi, I am not from the tax or related profession, but need help from expert. My father has passed away before three years back. I have inherited the shares he had. But I do not have any idea about the purchase price which is required for calculating long term capital gain. How should I calculate long term capital gain which I am supposed to show on my IT return. Thanks Ajay |
" |
Capital gain will come in picture if u r selling those shares and it would be long term capital gain or loss as the date of purchase would be the date on which ur father had acquired those shares.
further the cost of acquisition would be indexed cost of the shares and the index of the year of purchase of shares needs to be applied.
And if u have paid the securities transaction tax at the time of selling those shares then the LTCG would be exempt provided u need to show the amount of STT paid or else it would be taxed at 10% without indexation benefit and at 20% with indexation benefit
revert at gujrathi.sneha @ gmail.com for any further clarification
N GANESHAN.
(CA FINAL STUDENT - PRACTITIONER)
(921 Points)
Replied 02 August 2008
| Originally posted by :Ajay | ||
| " | Dear Ajay.. Noted your querry.. as Your father has passed 3 years before all the gains you have earned upon sales of the shares shall be of long term capital gain only..... you may take possession certificate from your fathers DP /share broker to known about the date of purchase.. else you may take your father bank account in which the payments were made.. . by now you might get transmission of share in your name by showing the death certificate and succession certificate to get the dividend in your name.... for more details you may contact me in BSN_GANESHAN @ YAHOO.CO.IN . With regards bsn ganeshan. | " |
Narayanan Krishnan
(Consultant/ Accountant)
(20 Points)
Replied 05 August 2008
I am old timer CA from the Instiute and keenly following the vast exposure that the NEW CAs get in India and abroad. I have simple query. we have a flat that was purchased , progressively, from June 2002 and posession in early 2003. The sales would create a Capital Gain. As an USA citizen, how do I declare, pay the correct taxes, and have these cleared through qualified CA in Mumbai?
I am willing to pay the agreed fees, for the services. Anyone interested?? Please respond direct to my email. Thanks a lot.
krishnanbabu @ msn.com
Hi,
I have developed CapGainTaxUtility application to compute capital gains.
input will be excel file containing records in the following format
stockname, transaction date, transaction type(buy/sell) , price, quantity.
Output will be excel sheet containing various reports, like
summarised stock balance sheet & year wise split of capital gains(short term, long term separately)
Initially application will be demo & you can verify the application and reports produced.
After satisfied with the reports, you can pay for it if you would like to buy.
Interested, can see visit the photos of the report samples in the below path
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contact : sym.coder @ gmail.com
thanks.
M.A.Jaffar
(consultants)
(20 Points)
Replied 13 November 2008
I have entered into an agreement for purcahse of a house at Bangalore in 1994.The land cost of Rs 1 lakhs was paid;further an agreemnet to build for the remaining cost of the flat was entered into with the developer.The instalmnets were paid to the developer from 1994 to 2001 and fiannaly the possesion was taken in 2001.The house was sold in 2004.
Whle submitting the returns my CA has indexed each instalment paid in each year and after summing up has calculated the long term capital gains.The LTCG was invested in REc bonds;the ITO says that since the house was taken possession only in 2001 indexation should be done from 2001 only.He is treating instalments paid to the deveopers as advance paid and not part of the consideration for purcahse of flat.
Please quote case laws if any.
pankaj kumar
(accountant)
(30 Points)
Replied 15 July 2009
Dear Sir,
please advice me short term capital gain/loss & long term capital gain/loss.
what is the tax rate (both) ?
thanks & regards
Balaji R K
(Salaried)
(158 Points)
Replied 16 July 2009
Hi Pankaj,
Short Term Capital Gain Tax rate is 15%
Long Term Capital Gain TAx rate is 10% with out indexation benefit and with indexation it is 20%. In case of shares or securities the entire long term capital gain is exempt from tax U/s 10(38).
regards
balaji
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