Capital gain in case of wip
This query is : Resolved
29 January 2016
Respected Sir,
I Purchase Shop Few Years Ago & Treated Such Shop As WIP, But After Few Year I Sell The Shop As It Is Without In Redevelopment Than I Should Have To Pay Capital Gain In Such Case Or Not????
I Purchase Shop Few Years Ago & Treated Such Shop As WIP, But After Few Year I Sell The Shop As It Is Without In Redevelopment Than I Should Have To Pay Capital Gain In Such Case Or Not????
29 January 2016
Yes, you have treated the shop as stock in trade u/s 45(2) of the Income Tax Act. It attracts capital gain on such treatment itself. The taxability of capital gain arises, when you actually sell the property.
Hence, in your case, both capital gains / (loss) and business income / (loss) needs to be computed in the year of sale of shop.
Hence, in your case, both capital gains / (loss) and business income / (loss) needs to be computed in the year of sale of shop.
Message likes :
1 times
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.
- Stamp Paper for partnership firm change new income tax 2025
- Capital gain from sale of house property
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- TDS on Purchase of Immovable Property by NRI from NRI
- Annual return in Gst
- When TDS on GST applied
- Before GSTAT- APL-02 Vs APL-04
- 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
