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sale of flats

160 views 3 replies

sadik shaikh

trainee

26 Points Joined February 2014

I had land acquired in 2009. And during the year 2013, 2014,2015 I did construction of 3 floors building. And in the year 2016-17 I had sold 2flats from it. Therefore whether my income will be taxable under. business income or capital gains tax.

Replies (3)

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

209862 Points Joined July 2016

if it is not your regular activity (no trade license etc.), it may be treated as capital gains....

sadik shaikh

trainee

26 Points Joined February 2014

Yes, sir it is not a regular activity

ramakrishna

Professional Accountant

65 Points Joined October 2007

yes, it's a capital gain, and one more thing to be kept in mind is that whether it is LTCG or STCG ? it depends on period of holding of each component of the asset. For Land portion it's LTCG and for the building portion we need to take period of holding from the date of construction, there by it may fall within STCG.

ANY other opinion on this period of holding ?