14 July 2011
Dear Sir, My question is My boss had bought property at 2001 march in banglore sum of Rs.3 lakhs and sold out 2011 january sum of Rs.8 Lakhs .Now the Income Tax office of banglore is saying that we have to pay the tax @20% is it true ? and they are saying we can't invest any where(Property Purchase etcc..) this is single owner property and also they are saying if we will not pay the LTCG Tax they required bond for three years and they will 5.1% interest but my boss doesn't wanted pay the tax or make the bond so in this case please help me with wide note against this case, I am waiting for your kind reply very soon
14 July 2011
If your boss want to pay tax he has to pay tax on the capital gains only.
As the Gain is Long Term Capital Gain which worked out to Rs 2.75 lacs approx.
The investment required is upto this amount only in Bonds. or He has to pay Rs 55000/- approx. as LTCG tax.
The reason for denying investment in residential house property may be due to the fact that boss must already be having 2 or more residential properties in his name.
Our company is a adfilm Makers & Film Production units, now we are planing to open our branch at Sri Lanka.Please tell me what is the procedure for start branch in sri lanka and if we bring our profit from the said branch is their any tax in india ?.Sir please reply to because it is very urgent
CAclubindia
