Capital gain tax for nri

Sale Consideration as on 11-12-2011 is Rs.16,85,500/-

Cost of acquisitionas on 1983-84 is Rs.4,539/-.

Plz tell how to calculate interest U/s234 B and C, if any, on the above Capital Gain.

The assessee did not pay any advance tax. And he is not interested to invest the gain in any bonds etc, to claim exemption.

Plz reply urgent.

Replies (2)

while computing the taxable income of NRI from LTCG, as per section 115D of the I-T Act, the NRI is not eligible for indexed Cost of acquisition.  hence the cost as was incurred wud be deducted from the sale consideration.  given below is teh calculation of LTCG & the related interst liability u/s 234B & 234C:

 

       
  Sale Cnsd 1685500  
  Less: COA -4539  
  LTCG 1680961  
       
Tax @ 20% on LTCG 336192.2  
       
Interest u/s 234B 302573 330957*.90
    12102.92 297861*.01*4
       
Interest u/s 234C 201715.3 330957*.60
    6051.46 330957*.01*3
       
Total Interest 18154  

it is assuemd that the taxable income would be determined in the month of Jul12 in the A.Y.and the return wud be filed in the same month.  hence intereset u/s234b is being calculated accordingly.  If the taxable income is beind determined beyong Jul12 then the interest liability u/s 234B wud increase accordingly.

thank u very much

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
15 September 2026
Client-site CA associate

Aditya Muley and Co

Mumbai

CA

View Details
Company
ARTICLESHIP 07 October 2026
Article Assistant

Malhotra Rajesh & Associates

New Delhi

B.Com

View Details
Company
08 October 2026
SALES TELECALLER

HIRE NOVA

Lucknow

Graduate (Any)

View Details
Company
30 September 2026
Senior Accounts Executive

Codeboard Technology

Chennai

MBA

View Details
Company
20 September 2026
Semi Qualified CA

Navin & Associates

Mumbai

CA Inter

View Details
Company
Featured 21 September 2026
Consultant - Reporting

Finrep Advisors LLP

Mumbai

CA

View Details
Company
18 September 2026
Accounts & Finance Specialist

ULTRA CHEMICAL WORKS

Thane

CA Final

View Details
Company
ARTICLESHIP 30 September 2026
CA Article Assistant

CA Suraj Garg & Associates

New Delhi

CA Final

View Details