Capital Gains from sale of house property

Unit 1 - LTCG

Unit 2 - LTCG after 3 years of gift 

Unit 3 - LTCG after the 3 years of sale deed registration

otherwise STCG applicable 

1. 3 units are purchased for 30,00,000, it is presumed that each unit costs10,00,000 

2.  3 units are sold for6,00,00,000, it is presumed that each unit fetches a consideration of 2 Cr.

3.  As the property is divided in three independent parts, I would like to consider each as a separate unit and do not take as Cost of Improvement at each instance of gift or purchase. 

Unit -1 & Unit-2

There will be no capital gain in the first instance when the unit is gifted to Subodh. It will be continued to be treated as long term capital asset. Same logic is applicable for Unit-2

Unit 1 LT Capital gains  = 1,29,89,000( Sales Consideration  2 Cr -Indexed cost of acquisition  70,11,000)

*

Unit 2 LT Capital gains  = 1,29,89,000( Sales Consideration  2 Cr -Indexed cost of acquisition  70,11,000)

Unit 3

STCG  = 1,25,00,000

Against LTCG he may purchase a house of2.60 cr or more. 

Upto 50.00 lac Investment in 54BC is also available on per Financial year basis within 6 months of sale. 

STCG will be taxed at salb rate for Unit-3.

FATHER GIFT THE PROPERTY TO DAUGHTER.

FATHER HOLD THE PROPERTY FOR LAST 10 YEARS

GIFT DEED MADE BEFORE A WEEK AND DAUGHTER WANT TO SALE THE PROPERTY IMMEDIATE.

THEN WHILE COMPUTING THE CAPITAL GAIN IN THE HANDS OF DAUGHTER THEN INDEXATION IS USE

AND IT IS SHORT TERM OR LONG TERM.

PLEASE TELL ME THE CALCULATION

PROPERTY PURCHASE VALUE 250000 ON 2002

GIFT DEED RS. 3000000 IN SEPT 2012

SALE VALUE   6500000  DATE :  SEPT  2012

PLEASE REPLY

IT IS LONG TERM CAPITAL GAIN BECAUSE THE PERIOD OF HOLDING AND COST OF AQUSITION OF THE PREVIOUS OWNER WILL BE CONSIDERED. BUT FOR TAKING INDEXATION THE INDEX NUMBER OF THE YEAR IN WHICH THE CURRNET OWNER BECAME THE OWNER SHALL BE COSIDERED.

IF YOU DO NOT  TAKE BENIFIT OF INDEXATION THAN TAX WILL BE PAAYBLE @ 10% ON RS. 4000000

AND IF YOU AVOID THE GIFT TRANSACTION THAN IN THAT CASE INDEXATION BENIFIT IS AVAILABLE AND THE TAX PAYABLE @ 20.60% WILL BE RS. 357390.

Indexation for Unit-I available from 1981 - Refer Manjula J. Shah (Bombay HC) (ITA No. 3378/2010), Ms. Janhavi S. Desai (TS-504-HC-2012) (Bombay HC) and Arun Shungloo Trust (Delhi HC) (ITA No. 116/2011)

MR TAJAS JAIN

HOW IT 10 % IT IS THE PROPERTY AND NOT THE SHARES THEN HOW IT RS 400000/-