Aaquib Patel (CA Final Article Trainee) (77 Points)
07 July 2012
Mr.A was in possession of a house since 2003 and purchased it in dec 2011 for Rs. 5lakh.
he sold the house in june 2012 for Rs22 lakhs. he had also purchased a new house in march 2012 for Rs25 lakhs. he took the possession in 2013
2 questions!
1- is it STCG or LTCG?
2-how much ?
PS- m very bad in tax
Ankush sharma
(Auditor Article Assistant)
(816 Points)
Replied 07 July 2012
Possession not merely means the ownership of the house property possession will be considered in sec 54D sec54G and sec54ga
In this case assessee purchased 2 house in dec 2011 Rs.5,00,000 and in march 2012 25,00,000
Sold 1 house in june 2012 Rs. 22,00,000 Assuming sold house is first house 5,00,000
Period of Holding less than 36 months
Short term capital gain will be calculated
sale consideration 22,00,000
less expenses nil
Net sale consideraiton 22,00,000
less cost of acquisition (5,00,000)
STCG 17,00,000
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