Advance Tax on Capital Gain

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CA Priya Bhaskar (Querist)
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29 February 2008 Whether a person liable to pay advance tax on CG at the its accrual.what will be its implication in 234C

CA Saurabh Maheshwari

CA Saurabh Maheshwari (Expert)
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29 February 2008 YES, THE PERSON IS LIABLE TO PAY ADVANCE TAX EVEN ON ACCRUAL INCOME OF CAPITAL GAIN.FAILS TO DO SO WILL ATTRACT INTEREST @1% P.M

CA. Kirti S. Ganatra

CA. Kirti S. Ganatra (Expert)
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29 February 2008 Only on accrual basis

jegannath G

jegannath G (Expert)
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29 February 2008 Yes it will attract interest under 234c

But you can claim the exemption for the quarter in which it is not happened

suppose the capital gain is realised on 2nd qtr . then he / she need not pay interest for 1st qtr

Peter,A.Matthai

Peter,A.Matthai (Expert)
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13 March 2008 First find out the date of sale of the asset - to which quarter it falls- if it falls between 1st April and 15th of Sept - you shall pay 30% of tax due as advance tax before 15th Sept,30% before 15th Dec and 40% before 15th March
if it falls after 15 th Sept but before 15th Dec - you shall pay 60% of tax before 15th of Dec and 40% before 15th of March and if it falls before 15th of March - you shall pay 100% of tax before 15th March
if it falls after 15th of March but before 31st of March - then also you shall pay 100% of tax before 31st March of the year
INTEREST SHALL BE WORKED OUT AT 1% pm [OR PART OF A MONTH] FOR DEFAULTED INSTALMENTS

Peter,A.Matthai

Peter,A.Matthai (Expert)
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13 March 2008 COMMENTS WELCOME