Long term capital gain

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shailesh (Querist)
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12 May 2015 i had sold agriculuture land in uraban area.
and i earn the capital gain as per the itr calculation.
now i have 2 question.
1.as per the sale deed the part of the amt is paid to the govt. by the buyer (to convert the land from juni sharat to navi sharat)
is that amt is consider in full value consideration as per the income tax calculation for long term capital gain??
2. if the long term capital gain amt is more than the actual receipet amt(a part of amt will recived in future.)
than how much i should invest in capital gain account to get exception..
kindley guide me.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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12 May 2015 Please refer the sale deed. Payment to the Govt is made for converting the Navi Sharat land into the Juni Sharat land.
.
1.
A. The amount paid to the Govt. by the buyer
will be excluded from the sales consideration.

B.What will be the gross sales consideration will depend upon the terms of the sales deed.
2.
Capital gains is levied in reference to the date of the transfer. If the transfer is completed and payment has not been received in full or in part, capital gains will be computed in ref to the date of the transfer or sale.

CA Kanj Goel

CA Kanj Goel (Expert)
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13 May 2015 I agree with paras and to claim whole deduction you need to invest the entire amount.

shailesh

shailesh (Querist)
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13 May 2015 Thanks paras sir and kanj sir,

but i have one small confusion..

for e.g
the total amt of sale deed is rs.100(as metioned on the dastavej)(specifiacally written than sale dastavej value rs 100)

from that rs.100
rs.20 goes to the govt (to convert land from juni sharta to navi sharat)
and
rs80 goes to seller.

than what will be the sale consideration???
gross and net??
is rs 20 is consider as value consideration ?
please help me to come out confusetion?

shailesh

shailesh (Querist)
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13 May 2015 and before which date i has to invest in capital gain account???

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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14 May 2015 I do not know exactly what has been prescribed in the sale deed.
.
If the land has been sold with a condition that seller would get it converted, then Rs 100 will be the Gross sales Consideration and Rs 20 may be treated as cost of improvement.
.
You have to invest the capital gains in Capital Gains A/c on or before the due date of return filing for the assessee.
.
Suppose land has been sold on 15-03-15, upto 31-7-2015, you can deposit the amount.

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shailesh

shailesh (Querist)
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14 May 2015 i got it sir...
thanks a lot

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