Capital gains calculations
This query is : Resolved
27 September 2010
Sir,
a propert owner entered into a joint venture agreement with a builder. The terms of the agreement is as follows:-
1. The owner auhorises the Developers to construct a new building in the property admeasuring 3360 Sq.Ft. and the Developers shall allot 54% built-uo plinth area in the proposed building construction and in addition the developers shall also pay a sum of Rs.22 lakhs to the owner and the owner shall refund the above said amount of Rs.22 lakhs to the developers at the time of completing the project and at the time of handing over the built-up area and the developer shall retian 46% built up plinth area in the proposed building for themselves and in consideration of such development and allotment the owner has agreed to transfer 46% Undivided share in the land .
What is the capital gains tax liability for the owner of the property?
Sir,
a propert owner entered into a joint venture agreement with a builder. The terms of the agreement is as follows:-
1. The owner auhorises the Developers to construct a new building in the property admeasuring 3360 Sq.Ft. and the Developers shall allot 54% built-uo plinth area in the proposed building construction and in addition the developers shall also pay a sum of Rs.22 lakhs to the owner and the owner shall refund the above said amount of Rs.22 lakhs to the developers at the time of completing the project and at the time of handing over the built-up area and the developer shall retian 46% built up plinth area in the proposed building for themselves and in consideration of such development and allotment the owner has agreed to transfer 46% Undivided share in the land .
What is the capital gains tax liability for the owner of the property?
28 September 2010
Property owner has sold only 46% of the land. cost of acquisition of 46% of the land will be calculated as per the value of purchase and index.
Sale consideration will be value of new developed house. That will be calculated by various means fairly otherwise AO will appoint valuation officer.
Rs. 22 lakhs has been given as security deposit. this will not be treated as sale consideration since it is refundable.
Sale consideration will be value of new developed house. That will be calculated by various means fairly otherwise AO will appoint valuation officer.
Rs. 22 lakhs has been given as security deposit. this will not be treated as sale consideration since it is refundable.
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
- ITDS U/S.194T of Firm
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- Difference between Date of Payment and Date of Deduction?
- Unregistered suppliers utility
- EXPORT COMMERCIAL INVOICE HSN CODE
- TDS AND ITR ISSUE
- Need Professional Opinion - AY 2012-13 Old Demand & AY 2026-27 Refund Adjustment
- Journal entry of busniess expenses
- Non-Compliance documents have not been submitted by the contractors debited
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
