Tds from land accquisition

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ROY (Querist)
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17 December 2012 Sir,

A person's Ancenstral propety (non-agricultural) has been taken by the state govt for development and paid compensation of Rs 10 Lacs for the accqusition and deducted TDS of Rs 1 Lac @ 10%.

The land purchased by his grandfather in the beginning of FY- 1960-61.

The beneficiary who got the compensation is mere a farmer of BPL group. But he have PAN. Further he did not invest the money in purchase any other capital gain bonds nor agricultural land.

Now, my question is that, is he eligible for getting his tax back.

if yes, please suggest the procedure.

waiting for expert's advice. Thanks in advance.

with regards
Roy

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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17 December 2012 He has to file his Income Tax refund for getting the TDS amount refunded partially or completely depending upon the capital gains
arisen on transfer of such non agriculture land.
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As you have said that the land was acquired prior to 1.4.1981 hence the fair market value as on 01.04.1981 will be taken as cost of acquisition (COA).
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COA will be multiplied by the Cost Inflation Index of the financial year, in which the first installment of(or entire) compensation is being received and divided by 100 to arrive the Indexed COA.
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1000000- Indexed COA= Long Term Capital Gain.
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Further, slab benefit (Rs. 180000/- for AY 2012-13) will also be available and the amount exceeding Rs. 180000/- will be taxed @ 20%.
.

.

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ROY

ROY (Querist)
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07 January 2013 Sir,
Please help me in calculating the LTCG on the basis of the following information.
1) Date & Deed value of Land Purchased --- 15/12/1988 & Rs 10400/-
2) Catagory of the Land --- Non Agricultural.
3) Amount invested for the development of the land and some minor construction - Rs 1.5 Lac.
4) year of improvement - May 1990.
5) Land accquisition done & compensation money paid by state govt - 22/03/2012 & Rs 10,96,673/-
6) Investment in capital gain bond & purchasing a agricultural land - NIL.

i would be very greatfull to paras sir, if he kindly give me a way out.

thanks in advance