19 May 2017
Hello Experts,
I have a query regarding capital gain taxation.
One of the assessee acquired the house from grandfather in dec2012 that was somehow purchased by grandfather long ago.
Assessee sold the same in jan2017 and registery was done on Rs 26 lakhs
How the capital gain will be calculated and how tax will be saved on the same if any..
please suggest
20 May 2017
From your query it seems that house has been acquired from grandfather by gift or will. in such cases the period of holding shall be reckoned from 2012 i.e. the year in which grandfather acquired the property. Thus it will be long term capital gain. Capital gain to be calculated as per DLC value i.e. 26 Lac. Cost of acquisition will be cost to the grandfather and indexation shall be made available from the year in which assessee became the owner of the property.
20 May 2017
thanks for the reply ...I wud like to correct you as you have mentioned that grandfather acquired the property in 2012.Infact DOA for grandfwther was long ago in the past. How COA in the hands of grandson will be calculated???
26 May 2017
In case of property acquired by gift or will cost of acquisition shall be the cost to the person from whom property has been acquired as gift or will and who has not acquired that property by these modes.
CAclubindia
