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is there any calculation of capital gain????

Raj Bisht (Sr Accountant) (58 Points)

03 March 2010

can somebody help me below topic:-

1. prepayment charges of home loan shall be capitalised or not for calculating capital gain/loss?????

2. interest claimed u/s 24(b) sahll be capitalised or not for calculating capital gain/loss????

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2 Replies

Amir (Learner) (4016 Points)
Replied 03 March 2010

Dear Raj,

I think, Prepayment charges of loan cannot be capitalized simply becos those charges cannot be said to be related with either the acquisition or improvement,.......

Further interest which is/has been allowed as Deduction u/s 24 CANNOT BE ADDED TO COST OF ACQUISITION for the purposes of capital gain......If it has not been claimed as deduction earlier, only then the same can be added.