Capital gain on forign mutual fund

This query is : Resolved

kavita (Querist)
Follow

12 June 2013 Please solve my problem:
If a person has purchased 5000 units of foreign mutual fund in 2007 @$10 per unit when exchange rate was 1$=Rs45. He has sold these 5000 units in 2013 @$12 per unit when exchange rate is 1$=Rs55. How the capital gain shoud be computed.
Further suggest whether capital gain should be computed considering the difference of exchange rate.(Assuming there is no indexation)
Whether the solution shoud be like this:-
sale 5000*12*55= 3300000
- purchase 5000*10*45= 2250000
Long term capital gain=1050000

or shouid be like this:-
sale 5000*12 =60000
-purchase 5000*10 =50000
Long term capital gain=10000*55
=5500000
Please help..

kavita

kavita (Querist)
Follow

17 June 2013 Plzz rply.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

CA Sunny Sharma

Rajat Khandelwal

ASHOK B GONDKAR

ashvini tripathi

CA Lalit Kumar Agrawal

Subscribe Now

Capital gain on forign mutual fund

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANCY

Accountant

CA Final

GST CONSULTANT