Suppose a customer fails to repay the loan & bank sells his mortgaged asset, then what will be the Cost of Acquisition, in this case, while computing capital gain? Is it the outstanding loan amount?
Sanmitra Sanjeev Ratnaparkhi (-) (223 Points)
12 April 2014Suppose a customer fails to repay the loan & bank sells his mortgaged asset, then what will be the Cost of Acquisition, in this case, while computing capital gain? Is it the outstanding loan amount?
SURESHAN K
(Auditor)
(189 Points)
Replied 13 April 2014
Capital gain in the hands of whome?
I don't think there is capital gain in the case of bank. The land not seems to be a capital asset in the hands of bank. It is part of its normal business activity. Hence income arising is business income.
LIVE Course on Foreign Exchange Management Act (FEMA)(with recording)
CAclubindia
