Capital gain (cost of acquisition of agriculture land)

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

06 January 2013 I want to sale my agriculture land ( after conversion into residential land i.e. diverted land).

this land is become my property before 01 April 1981 by virtue of Inheritance.

What should be cost of acquisition for the land?

whether it will be FMV as on 01.04.1981 since no cost of previous owner.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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06 January 2013 Yes, Value as on 01.04.1981 will be treated as Cost of Acquisition.

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Querist : Anonymous

Querist : Anonymous (Querist)

06 January 2013 Thank you Sir

This land conversion have been taken place in 02 Jan 2013.

Whether it is long term capital gain?

What is the way to find out value as on 01.04.1981?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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06 January 2013 On sale of land , the arising capital gain will be LTCG.
.
Valuation as on 1.4.1981 will be made by an approved valuer, for that nominal fee will be charged by him.
.
In the indexed cost of acquisition you may add cost of improvement i.e. conversion cost
.

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