Ashim kr Ray (social service) (1695 Points)
10 November 2016Sir, I have made capital gain of long term an I am govt employee, i started to build my house an will be complet within one or two year,i want to know Which ITR form to fill up and what document to produce as evidence of construction of house as 15 lak has been credited in my account as capital gain.
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177877 Points)
Replied 10 November 2016
Query is not clear. How the capital gain arised? When? How the bank account got credited?
Ashim kr Ray
(social service)
(1695 Points)
Replied 10 November 2016
Sir,
Query is simple after gaining long term capital gain,if any one start construction of new house,then what document required to proof that new house is been constructed ,and the amount is investing in new house is equal to the amount of capital gain.Any body will claim more amount is invested in construction of new house,as proper bill will not aviliable for each and every thing.
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177877 Points)
Replied 10 November 2016
1. The long term capital gains is to be deposited to cagital gains account of any nationalized bank, before filing the return of previous year, in which long term gains arised.
2. Any payment of the bills of contractor/s and material suppliers are paid through this account and the bills are required to be preserved.
3. Sanction plan of the property, ownership documents, Completion certificate, municipal tax bill etc. can help about its authenticity.
Ashim kr Ray
(social service)
(1695 Points)
Replied 10 November 2016
Sir,
There is a problem regarding the bill of labour payment and contrators ,as local contractor involved and billing is not to be done .
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177877 Points)
Replied 10 November 2016
Payments by cheque, Architect's certificate. Government Valuer's certicate are some of the alternatives in case of cross verification.
sachin nair
(article)
(32 Points)
Replied 10 November 2016
SR420444
(BANKER)
(24 Points)
Replied 11 November 2016
SIR, WE HAVE SOLD OUR LAND... IT WAS MY ANCSETRAL PROPERTY AND INHERITED FEW MONTHS BACK .... WILL IT BE SHORT TERM GAIN OR LONG TERM GAIN AS THE PROPERTY WAS ACQUIRED TO ME THROUGH INHERITANCE JUST A FEW MONTHS BACK?? I SOLD THAT LAND AND I SPENT ALL THE MONEY TO CLEAR THE DEBTS OF OUR FAMILY WHICH WERE LOCAL... NOW I DONOT HAVE MONEY TO PAY TAX ON MY CAPITAL GAINS.... HOW WILL THIS AFFECT?? WHAT SHOULD I HAVE TO DO NOW?
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177877 Points)
Replied 11 November 2016
@ sachin nair:: As per AS29, its treated as provisions, for calculation of tax liability. The same is adjusted with P&L acc before finallization.
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177877 Points)
Replied 11 November 2016
@ SR.....Banker:: It will be long term gain even in your hand, provided total period of holding of the land has been more than 3 years. Indexation of the cost will be available. Calculate tax liability, and if sold after March, 2016; you are liable to pay any taxes before march 2017, and file return by July 2017.
Ashim kr Ray
(social service)
(1695 Points)
Replied 11 November 2016
sir,
One more question a govt salary person falling U/S 10(26) if he earns income from long term capital gain by selling a plot of land in other state,will he have to pay the tax.As U/S 10(26) tax is exempted.
SR420444
(BANKER)
(24 Points)
Replied 11 November 2016
i have spent all the money i got to the local debts of our family........ at present i dont have any money left to pay tax.... as i am left with no money what should i do now?? i have to pay tax for the money in hand to show its legitimacy... whats the use now as iam left with no money from those capital gains?
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177877 Points)
Replied 11 November 2016
@ Asim: " selling a plot of land in other state......." Ans.: if the area is within the notification as per the section, it is treated as tax free. But otherwise taxable.
Ashim kr Ray
(social service)
(1695 Points)
Replied 11 November 2016
SIR,
SO you suggest to open long term capital gain account ,and to deposite the same gain amount ,and to withdraw it for construction of house property.To get relief U/S 54F.Right
B. Yogesh Reddy
(Final Student)
(29 Points)
Replied 11 November 2016
CAclubindia
