Capital gain calculation ?
This query is : Resolved
03 June 2012
Hello everyone,
on of my client has purchased plot in f.y. 11-12 at Rs.8,00,000.
he has entered into a joint venture with a builder to develop that land and make residential complexes. share being 40:60.
builder has made payment of non refundable deposit to my client of Rs.20,00,000.
how to compute the capital gain ?
on of my client has purchased plot in f.y. 11-12 at Rs.8,00,000.
he has entered into a joint venture with a builder to develop that land and make residential complexes. share being 40:60.
builder has made payment of non refundable deposit to my client of Rs.20,00,000.
how to compute the capital gain ?
03 June 2012
Can Non Refundable Deposit be treated and termed as Sales Consideration of the land?
If yes, calculate STCG on that basis.
.
Whether sharing is only in the Development Activity ? Please define the status as a firm or an AOP.
.
Treat the profits from Development Activity as Business Income.
.
If yes, calculate STCG on that basis.
.
Whether sharing is only in the Development Activity ? Please define the status as a firm or an AOP.
.
Treat the profits from Development Activity as Business Income.
.
03 June 2012
agreed with Mr. Bafna , you can also consider 20lacs + 40% of project as sales consideration for the plot
03 June 2012
I think it is a joint venture business. The non refundable deposit should also be treated as income from business.
04 June 2012
THANK U VERY MUCH FOR UR REPLY. Mentioned below is the brief facts.
my client is an individual and he has entered into jv with another individual(builder). builder alone will develop the property and construct the building and my client will get 40% of the flat in the building.
construction will complete after 2 years. how to compute capital gain on rs.20 lacs received as non refundable deposit from the builder ?
when he is liable to pay the capital gain tax on rs.20 lacs and when he will get 40% of flats ?
my client is an individual and he has entered into jv with another individual(builder). builder alone will develop the property and construct the building and my client will get 40% of the flat in the building.
construction will complete after 2 years. how to compute capital gain on rs.20 lacs received as non refundable deposit from the builder ?
when he is liable to pay the capital gain tax on rs.20 lacs and when he will get 40% of flats ?
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- DELIVERY GOLD & SILVER AND OTHER ETF TRADING PROFIT AS BUSINESS INCOME
- GSTR-1A How to update Invoice
- Excess salary payment.
- 3cd- cash system of accounting is allowed?
- Provision for loans that are under Revenue Recovery
- APPLICABILITYOF GST ON STUDENT HOSTEL FEES
- Form 121-contradictory opinions
- TDS on Purchase of Immovable Property by NRI from NRI
- Is Personal Guarantee of Director is Compulsory in case of loan to company ??
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
- Updated return in budget 2026
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
