Query on Capital Gains taxation

This query is : Resolved

Ravi B L Gowda (Querist)
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03 July 2024 Dear Sir,
My query is as below
My friend had purchased a Land in 2013 for Rs.600000 & house constructed in the same year. House & land sold in 2023 for Rs.33.50 Lakhs.

My query is whether capital gain is to be calculated separately for land & building & whether cost of construction of building is to be treated as cost of improvement.

Kindly advise.

With Regards
Ravi

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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03 July 2024 Capital gain to be calculated in aggregate. Yes construction cost can be added in aggregate cost of building as you have transferred building.

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CA SUNIL SURI

CA SUNIL SURI (Expert)
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03 July 2024 Sales Consideration will be taken Rs.33.50 Lakh (aggregate value of land & building). and cost of construction of the house will be the cost of improvement.

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Ravi B L Gowda

Ravi B L Gowda (Querist)
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04 July 2024 Dear sir, Thank you for your advise.

Ravi

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Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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04 July 2024 You are welcome.

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