Sale of jewellery
Vikram BInayak (individual) (25 Points)
08 February 2016Vikram BInayak (individual) (25 Points)
08 February 2016
CA CMA CS Ram Pavan Kumar Melam
(CA)
(6980 Points)
Replied 09 February 2016
Sale of jewellery attracts 'capital gain'. However, the transfer / sale normally turns to a 'loss' after indexation in case of long term capital asset. Hence, don't worry. Follow the course of law and disclose the sale properly in your return of income.
Vikram BInayak
(individual)
(25 Points)
Replied 09 February 2016
Sir, i want to know can i invest the same money received in course of sale of jewellery in investing shares of unlisted company and do i have to pay any tax in such investment or sale of jewellery and is their any limit on sale in a year?
CA CMA CS Ram Pavan Kumar Melam
(CA)
(6980 Points)
Replied 09 February 2016
As a first step, compute the capital gains. If the the result of the computation turns to be a loss, then the sale proceeds can be invested the way you wish. In case of gain, to the extent of gain you have to either invest in specified bonds u/s 54EC or pay capital gains tax and invest the balance amount the way you wish.
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