Urgent: capital gain whether short term or long term

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This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

10 October 2012 Dear All,

assessee has booked a under construction property in FY 2005-06 and paid Rs. 1.90 Lakh as booking amount. other cost related to the property acquired had been paid in fy 2008-09, fy 2009-10. Total amount paid towards the property is rs.1295340.
the sale of the property tool place in fy 2010-11 for rs. 2631000/-.
50% of property was constructed in fy 05-06 & fy 2006-07. however the property was made available after full construction somewhere in fy 08-09/fy 09-10.

NOW MY QUUESTION IS :
whether capital gain arose would be considered as long term capital gain (consideration cost of acquisition year 2005-06, the year in which booking amount of rs. 1.90 lakh was paid and remaining in later years)OR short term capital?

Anand Modi

Anand Modi (Expert)

10 October 2012 I think you have to take the date of Purchase Deed.

A sale is completed when the property is handedover to buyer and full consideration is paid to seller.

Also please wait for others to reply

CA C.JANANI

CA C.JANANI (Expert)

10 October 2012 Yes . Year when the registration took place is for all practical purposes considered,even though property hand over date may be later.

Querist : Anonymous

Querist : Anonymous (Querist)

10 October 2012 Thank you.

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