Whether eligible for indexation

Raman (Salaried) (78 Points)

01 September 2008  

Hi Gurus,

Can any one answer to my queries in following case.

Obtain a lease of shop in Feb-2001 by paying Rs. 11,000 to the society/trust. Now interested in vacating that lease. This transaction will be executed as following.

1) Shop will be surrendered to society/trust.

2) New person will take that shop on lease from society/trust. As part of vacating this shop he is willing to pay Rs 2,50,000 to the person who was previously occopuying the shop.

My query is,

a) How much will be the gain. 2,50,000 or 2,39,000 or any other amount.

b) Whether gain will be LTCG and STCG.

c) Whether benefit of indexation will be available or not.

d) How much will be the tax?

Thanks in advance for your time and help.