Relating to Sec 50C

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CA Sunanda Badgujar (Querist)

13 October 2009 Hello to all,
I want to know the implication of amendment in Sec 50C which is effective from 01.10.2009. according to the amendment in section, it is being provided that in case of unregistered transactions, whether the stamp duty is assessed or assessable, the provisions of section 50C would apply.
so, if i baught a flat in 2006 and not registered valuaing 10 lacs, now i registered it with a stamp value of Rs. 25 lacs, so what should be my cost Rs. 10 or 25 Lacs.

Jitender

Jitender (Expert)

14 October 2009 it has been introduced to cover the sale deeds done through power of attornry.

Rajeev

Rajeev (Expert)

14 October 2009 Stamp Duty Valuation “ Section 50C The provisions(before 1/10/2009) provide that where the consideration declared by the assessee on transfer ofCapital asset being land or building or both is lower than the value adopted / assessed by Stamp Duty Authorities, the value adopted by stamp duty purposes will be taken to be the real consideration forcomputing Capital Gains.However, the existing provisions do not apply to transfer which are not registered but passed through Power of Attorney. section 50 C is now amended wef 1/10/2009 so as to provide that the expression ˜or assessed is to be substituted by ˜or assessed, or assessable which would mean that the price whichthe Stamp Valuation Authority would have adopted or assessed if it were referred to such authorityfor the purpose of payment of stamp duty will be the basis for computation of capital gains.

Sunandaji , Its for computation of capital gains in case of transfer , nothing is applicable when you buy a flat :)