Ltcg on sale of a house

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

24 May 2013 Dear sir while furnishing the the detail of ltcg from sale of house...cost incurred in purchase of land + construction cost.....should we just provide the ammount incurred in construction of house ...or do we have to provide some sort of documents supporting the constrution cost incurred...

Purchase date of land- 1988
cost of land- 48 thousand (48,000)

Cost of construction yr 1990- 3 lac
cost of construction yr 1995-2 lac

Sold the house in 2011
ammount- 18 lac

Should v just provide the figure of construction cost
Or do v have to provide some sort of documents supporting the constructin cost?

Pls guide
Thanks

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
Follow

24 May 2013 Basically no such document is required to be submitted with the Return or ITR.
.
Had the assessee been providing the Balance Sheet Data in his return of income or ITR, it would have been rather easier to substantiate the costs incurred .
.
Looking to the small amount of 18 lacs, there is not much chance for scrutiny.
.
Copy of Construction Contract or Bills of material and Labour or such supportive evidences may be required by the authorities, if the case is selected under the Scrutiny.
.
So, take benefit of indexation and compute LTCG on the basis of the Data available with you.
.

Querist : Anonymous

Querist : Anonymous (Querist)

24 May 2013 Dear sir first of all thanks for devoting ur pricious time....sir v dont have any papers like bills and contract papers etc. Is there any other document that v can provide?
My father is a pensioner and the sold property was registered in his name.

Thanks again sir

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now