banner_ad

capital gain

This query is : Resolved 
Profile Image

Profile Image

(Querist)
15 August 2010 An who is dealing in retail business, has a land value of Rs. 10,00,000/-, because of keen competition, assessee change his object of business to dealing in real estate business. Hence, assessee converted the land into current asset at market value and sold subsequently?
Assessing officer, propose to tax this transaction u/s 45(2) as a conversion of capital asset into stock-in-trade. However, assessee contends it, land is a stock in trade with respect to change in object of business, hence not taxable.

Please Advise on this issue
Profile Image

CA Sanat Pyne

Profile Image

CA Sanat Pyne (Expert)
15 August 2010 AS PERSECTION 45(2) HERE CAPITAL GAIN WILL BE ATTRACTED.
CHANGE OF OBJECT OF BUSINESS WILL BE TREATED AS METHOD OF CONVERSION.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news



Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
Featured 28 May 2026
SEMI QUALIFIED/ CA DROPOUTS/ ARTICLES

T R SOOD & CO

New Delhi

CA Inter

View Details
Company
04 May 2026
Articleship

S.K Gairola & CO

New Delhi

B.Com

View Details
Company
26 May 2026
CA / MBA (Finance) / CMA / M.Com (Finance)

Sri Aurobindo Gnostic Centre of Education

New Delhi

CA

View Details
Company
02 May 2026
Experience Audit Manager

AGGARWAL SAMIR & CO

New Delhi

CA Inter

View Details
Company
05 May 2026
Accountant

Sanjay K Pathak & Associates

Noida

Graduate (Any)

View Details
Company
22 May 2026
U.S. Financial Reporting & Consolidation Manager

Karia Overseas

Ahmedabad

CA

View Details
Company
22 May 2026
Sr. Financial Analyst - Consolidation

Search Synergy

Mumbai

CA

View Details
Company
21 May 2026
Associate

PWC

Kolkata

CA

View Details