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)