sampath (Others) (24 Points)
05 July 2013Myself and wife purchased a flat (holding 50% each) during december 1997 for and amount of Rs.4,25,000/-, and sold it on 01.04.2012 for an amount of Rs.18,50,000/-. The old flat is yet to be regitered in the buyer's name but the full amount is received. The money is invested to construct an independent house in my wife's name only. Now, whether I have to pay any Long term capital gains Tax. and how much?
Regards
Sampath
Mihir
(Wealth Manager)
(5293 Points)
Replied 05 July 2013
Sales consideration = Rs. 18,50,000/-
Less cost of acquisition = Rs. 425,000/-
CII cost of acquisition = 852/ 331 x 425,000/- = 10,93,957
Long term capital gain = Rs. 18,50,000 - Rs. 10,93,957 = 756,043/-
Long term capital gain tax = Rs. 756,043 x 20.36% = 153,930/-
Ayushi Agarwal
(Article)
(161 Points)
Replied 05 July 2013
plz confirm if or not the possession of the old house is transfrd to the buyer...
also, ur wife can claim exemption with regard to the new house u/s 54
Akshata
(CA Final )
(324 Points)
Replied 06 July 2013
Hi Sampath
If the old flat is in possession of the buyer,ur wife can claim exemption..
CA Vinay parmar
(Chartered Accountant)
(1318 Points)
Replied 06 July 2013
Please refer to my article on the below web page for more clearity and hidden clauses on sec 54 on Capital Gain:-
/articles/summary-on-section-54-exemption-capital-gain-with-case-law-17849.asp
CAclubindia
