Garvit Dave (Portfolio Analyst & Tax Consultant) (295 Points)
31 December 2012Hi Folks!!
I had purchased a plot of land in Yr 2002 and constructed independent house on that.Construction has been done in 2005.I am planning to sell this house and going to purchase a New flat. Please advice me whether I have to consider land value and House construction value {buy and sell value}separately for capital gain tax purpose?
Please help me on this query!!!
Thanks & Regards
Garvit Dave
Vikash Kumar
(Manager Accounts (CA. Final))
(694 Points)
Replied 31 December 2012
Sir, you have to take combined sell value.For the purpose of calculating LTCG calculate indexed cost of land and house construction seperatly & reduce it (both indexed cost & other cost if any) from total value of transfer.
Garvit Dave
(Portfolio Analyst & Tax Consultant)
(295 Points)
Replied 31 December 2012
Hi Vikash,
Thanks a lot for sharing your views and guiding on the same. i was in line with you.
CAclubindia
