Capital gain - cost of acquisition of construction of buildi
This query is : Open
26 July 2011
Dear Sir
case is:
Assessee purchased one floor of a building in fy 1997-98. In fy 2005-06 he gave consent to demolish and construct a new building. He paid Rs.8lacs to a contractor.Contractor demolished the complete building and constructed 5 flats and gave assessee 2 flats.
Now assessee sold those two flats in fy 2007-08. What will be cost of acquisition for computing capital gains ?
Thank you
case is:
Assessee purchased one floor of a building in fy 1997-98. In fy 2005-06 he gave consent to demolish and construct a new building. He paid Rs.8lacs to a contractor.Contractor demolished the complete building and constructed 5 flats and gave assessee 2 flats.
Now assessee sold those two flats in fy 2007-08. What will be cost of acquisition for computing capital gains ?
Thank you
27 July 2011
Assuming that the assessee did not get any cash benefit when the consent was given:
Cost of Acquisition should be the Price that he paid for the acquisition in 97-98.
The 8 lacs paid in 2005-06 could be shown as cost of improvement. Indexation benefit to be taken for the both the above.
Cost of Acquisition should be the Price that he paid for the acquisition in 97-98.
The 8 lacs paid in 2005-06 could be shown as cost of improvement. Indexation benefit to be taken for the both the above.
Message likes :
1 times
27 July 2011
sir can you provide any case law for the same.
Thanks
Thanks
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
- GSTR-1A How to update Invoice
- Excess salary payment.
- TDS on Purchase of Immovable Property by NRI from NRI
- Capital gain from sale of house property
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Stamp Paper for partnership firm change new income tax 2025
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- Regarding TDS Applicability For Director Remuneration
- SFT Cash Deposit in Current Account
- Annual return in Gst
- TDS APPLICABILITY......
- Copyright software
- 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
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
