Capital gains
This query is : Resolved
16 August 2011
Assessee : Private Limited Company
Purchase cost of Land (1990) :3,00,000.00
Building (1992) :20,00,000.00
Sale consideration :50 Crores
Can u please provide any tax planning to minimize the tax effect.
Purchase cost of Land (1990) :3,00,000.00
Building (1992) :20,00,000.00
Sale consideration :50 Crores
Can u please provide any tax planning to minimize the tax effect.
16 August 2011
Since its a company you need to first see the things and in respect of block system of the assets...
17 August 2011
In the same block if new asset of the requisite value is purchased, no capital gains will arise.
17 August 2011
If I am not wrong the contention of purchase of new asset in block shall not not be applicable in case of LAND as LAND cannot be depreciated.
In present situation we shall be required to bifurcate the sale consideration into land and building and off course majority of the sale value shall be towards the LAND.
I feel proper planning of hiving of the land into new company and merger of the same with existing PURCHASER company can be one of the options .
Anuj
+91-9810106211
femaquery@gmail.com
In present situation we shall be required to bifurcate the sale consideration into land and building and off course majority of the sale value shall be towards the LAND.
I feel proper planning of hiving of the land into new company and merger of the same with existing PURCHASER company can be one of the options .
Anuj
+91-9810106211
femaquery@gmail.com
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
- Refund Annexure-B
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- Liable to deduct tds and 44ADA
- Sale of Equity shares for Purchase of Residential Property
- ECO SUPPLY REPORTIONG IN GSTR-1
- Non issue of e way bill
- ASISSE return under the provisions of the Collection of Statistics Act, 2008 (7 of 2009)
- Payment to foreign customer
- Gstr7 vs Gstr3b 2026
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- 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
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
