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Capital Gain Exm.

Umesh007 (Accountant) (57 Points)

18 June 2011

My old car price remain in year 2009-2010 Rs22900/- I sold it for Rs.74000/-in year 2010-2011 and in same year I purchased new car at Rs. 374945/- hence is there any capital gain ? if yes how much ?

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4 Replies

praveen (Chartered Accountant) (6971 Points)
Replied 18 June 2011

First of all i am very surprised how you could sell an old car at a higher rate.

Second thing is whether it is a business or a non business assessee.

If it is a business then you will have to adjust with the block and see if there is any gains in the block, If there is a negative figure that is a STCG.

CA. Roopali Kadam (Jobs on assignment basis.) (1459 Points)
Replied 18 June 2011

is used for business or personal use

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 18 June 2011

when wdv is declared then its for business, and such gains are short term gains, to be reflected in P/L as "STCG on depriciable assets sale", taxed with net income of the business.

CA ADITYA SHARMA (CA IN PRACTICE ) (16719 Points)
Replied 18 June 2011

Originally posted by : U S Sharma
	when wdv is declared then its for business, and such gains are short term gains, to be reflected in P/L as "STCG on depriciable assets sale", taxed with net income of the business.