1) the assese has purchase first 4 acer land and than in next year he purchase additional 1 acer land than in that case its additional land pur is count as cost of improvement ????
2) 4 acer land ( holding period more than 3 years )
1 acer land ( holding period less than 3 year )
so my question is that indextation benefit both can recd just becz the cost of acquisition is ( 4 acer) is more than 3 years ???
1. Additional purchase of land is not any improvement. It is just additional purchase.
2. Indexation benefit is available over 4 acres of land, being more than 3 years. While that over 1 acre will be short term capital gain.
Note: Time period of holding for long term capital gain is reduced to two years for immovable properties. (Budget 2017)
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