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capital gain

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This query is : Resolved

chetan (Querist)

12 July 2011 Assesse has one block which consists 2 truck

WDV AS ON 01/04/2010

RATE OF DEPRECIATION AS PER IT ACT 1961 IS 40 %

Rs12,36,000/-

On 1/07/2010 one truck sold and sale consideration receivd was Rs 9,74,000/-

And one truck met with road accident and insurance claim was lodged

and insurance company paid compensation of Rs 9,75,000/-

SUMMARY :

WDV 01/04/2010 12,36,000/-

SALE CONSDIERTAION
OF ONE TRUCK 9,74,000/-

COMPENSATION OF ONE
TRUCK ( ROAD ACCIDENT) 9,75,000/-

Assessee is Pvt Ltd Company.

Please guide me, what is the amount of CAPITAL GAIN chargeable to tax
u/s 45 1(A)

CA PARAS BAFNA

CA PARAS BAFNA (Expert)

12 July 2011 Short Term Capital Gain 1949000-1236000
= 713000

In case the company had purchased a new truck during the FY of800000/- no STCG would arise. On 87000/ wdv the company could have claimed depreciation.

According to Section 45(1A): full value of consideration for the purpose of Section 48 is taken at Rs 975000/.
STCG is due to Section 50.

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