Ayushraj (Professional)     10 December 2010

# Computation of NRI Income - Very Very Urgent

Is the following Computation of Income of an NRI right for F.Y: 2009-2010 Please Comment it's very very urgent?

NRI Income in India is only Rental Income and Long term Capital Gains (have sold flat and shop and invested proceeds thereof in booking new flat). Investment in booking new flat is Rs. 38,60,000/- for 2009-2010. Owns on these two properties.

(1)    Income from House property
(a)    HP1- Rent:                                   1,86,000
Less: Deduction u/s 24(a) 30%           55,800
Less: Deduction u/s 24(b)                  2,80,000
(Int. paid on HL 2,00,000 + 80,000 (1/5th installment of Interest paid during period of construction)
Income from HP1                         (1,49,800)

(b)    HP2- Rent:                                 2,68,000
Less: Deduction u/s 24(a) 30%         80,400
1,87,600
Income from HP2                           37,800
Less: Last years Carried Forward
Income from HP                             - N I L -

(2)    Capital Gains
(a)    Property 1 (residential Flat)
Sales Proceeds     1,00,00,000
COA(after Indexation): 75,00,000
25,00,000
Less: Comm. To Agent
for sale                           1,20,000
LTCG                           23,80,000
Less: Exempt u/s 54    23,80,000
(Total Invested 38.60 lacs)
LTCP from P1                     00.00
(b)    Property 2 (Shop)
Sales Proceeds             20,00,000
COA(after Indexation): 15,00,000
LTCG                               5,00,000
Less: Exempt u/s 54F 3,70,000
(Balance amount 14,80,000/- from
Total Invested 38.60 lacs)
Proportionate to be claimed u/s 54F (14,80,000 x 5,00,000/20,00,000 = 3,70,000)

Net Capital Gains chargeable to tax   : 1,30,000

GTI (Incl LTCG) 1,30,000

Tax Payable:         NIL

(Since GTI is only LTCG and below Basic Exemption Limit)

Ayushraj (Professional)     13 December 2010

Hello!

Can anyone confirm this Statement of Computation of Income please.

CA PARAS BAFNA (Practising CA )     16 December 2010

Its okay.

Rajesh (student)     18 December 2010

IT'S OK BUT U WANT TO CONFIRM THAT A NRI'S INCOME WHETHER IT WAS RECEIVED IN INDIA EVEN THOUGH IT WAS ACCRUE IN INDIA OR OUTSIDE INDIA , WHETHER INCOME WAS ACCRUED IN INDIA EVEN THOUGH IT WAS RECEIVED IN INDIA OR OUTSIDE INDIA INTHESE CASES NRI INCOME WAS TAXABLE IN BOTH OF THE ABOVE SITUATIONS THERE ARE SOME DEEMED CONDITIONS.

WHILE TAKING DEDUCTION U\S 24(B)  INTEREST AMOUNT ACCRUED IN THE F.Y  NRI  CAN CLAIM THE AMT

U\S 80C THE REPAYMENT OF HOUSING LOAN CAN ALSO BE CLIAMED

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