Corpus fund

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

01 May 2014 My society has been taken over by a builder for redevelopment.As compensation the builder agreed to pay the members an amount as compensation for the hardships. I received two installments as per the agreement with the builder last financial year. Is this taxabale? I am an NRI Should capital gains be paid on this amount? I am told by most of the society members that it is not taxable. Could you please confirm. The builder also has agreed to give us an appartment in the new buidling with more built up area.

Many thanks

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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01 May 2014 yes it is taxable as capital gain only as u have rec this by extinguishment of ur rights in the property and this is the consideration for the same.

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