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Long Term Capital Gain and addition

This query is : Resolved 

05 August 2022 I had purchased a plot of land during FY 1980-1981 for Rs.50,000/-. Upto 31.03.2010, I had incurred Rs. 8,30,000/- in addition (Earth filling, boundary wall construction etc.). During FY 2021-22, I have sold the said plot of land for 25.00 lac and earned a LTCG of 16,20,000/-. I have to pay Capital gain tax on the same. But sir, If Income tax department asks from me the supporting documents against addition of said Rs. 8,30,000/- I will not be able to provide the same. May I claim the said addition ?

05 August 2022 First of all get the circle rate of the plot as on 1.4.2001 from Sub registrar & index it to 2022. That will reduce your LTCG.
The expenditures which you cannot justify by any legal evidence, should not be claimed.


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