Is there any proposed change w.e.f 01.06.2010 regarding taxability of difference between stamp value & actual purchase cost of immovable property under section 56 of income tax act.
kamod kumar (practice) (32 Points)
11 April 2010Is there any proposed change w.e.f 01.06.2010 regarding taxability of difference between stamp value & actual purchase cost of immovable property under section 56 of income tax act.
CA LOVELY ARORA
(C.A. B.Com (H) Graduate)
(2151 Points)
Replied 11 April 2010
there were proposed changes in the relevant provisions to this effect........ but in Budget 2010 these changes have been revoked........
Aditya Maheshwari
(CA in Practice)
(35867 Points)
Replied 11 April 2010
The finance Bill 2010 has proposed to remove the taxability of difference between stamp value & actual purchase cost of immovable property under section 56 of income tax act w. e. f. 01.10.2009. So no tax on purchase of property
abhilasha taparia
(Chartered Accountant)
(97 Points)
Replied 11 April 2010
Aaditya! Does the amendment w .e.f 1/10/2009 u/s 56 talk about puchasing the immovable property at a price lower than stamp value is treated as gift?
CA Devender Chauhan
(Group Financial Accountant)
(1526 Points)
Replied 12 April 2010
don't understand
difference inopinions
does anybody clarify
SUDHIR & PRADEEP JI
(CA FINAL+LLB + DISA)
(2299 Points)
Replied 12 April 2010
Aravind..
(CA)
(1262 Points)
Replied 12 April 2010
i think it is not revoked from 1.10.2009 because only from that date such a provision is introduced,
(stamp value - consideration paid) > 50000 is taxable from 1st october 2009.
rajeev kumar, bcom ca-final
(study)
(196 Points)
Replied 12 April 2010
plz what are the main ammendment in income tax plz send me my id rajeev.kumar618 @ gmail.com
CA LOVELY ARORA
(C.A. B.Com (H) Graduate)
(2151 Points)
Replied 12 April 2010
no taxability to this effect............
Nitin
(article)
(32 Points)
Replied 12 April 2010
There is a retrosepctive amendment in relation to gift.Please understand that for our exam it is not applicable
From exam point of view let me clarify by foll points
1> Before 1/10/2009 Sec 56(2)vi applies
2> Fom 1/10 a new section i.e Sec 56(2)vii has been inserted which deals with taxability of immovable and movable property
For May 10 exams amendments which took place uptill 6 mth immediately before the exams are applicable Ie while answering a question you can safely write a note in this regard and the same holds true in the exams.
I hope its clear
Nitin
(article)
(32 Points)
Replied 12 April 2010
There is a retrosepctive amendment in relation to gift.Please understand that for our exam it is not applicable
From exam point of view let me clarify by foll points
1> Before 1/10/2009 Sec 56(2)vi applies
2> Fom 1/10 a new section i.e Sec 56(2)vii has been inserted which deals with taxability of immovable and movable property
For May 10 exams amendments which took place uptill 6 mth immediately before the exams are applicable Ie while answering a question you can safely write a note in this regard and the same holds true in the exams.
I hope its clear
Aditya Maheshwari
(CA in Practice)
(35867 Points)
Replied 12 April 2010
The amendment made by the Finace Act 2009 has been proposed to be deleted by Finance Bill 2010 in respect of property only w. r. e. f. 01.10.2009. So in effect the said provision related to property did not come into effect only.
However for exam purposes only the clause is still there.
Nitin
(article)
(32 Points)
Replied 12 April 2010
U R ABSOLUTELY RIGHT IN THIS REGARD BUT IN MY VIEWS FROM EXAM POINT OF VIEW WE CAN SAFELY FOLLOW THE OLD RULE
M I CORRECT?
Aditya Maheshwari
(CA in Practice)
(35867 Points)
Replied 13 April 2010
Yes Nitin you are correct. I also mentioned "However for exam purposes only the clause is still there"
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