Depreciation problem

Have a lot to achieve (C.A. B.Com(H)) (101 Points)

31 October 2009  

Please solve this problem

Suppose a land is purchased on 01/01/2000 for Rs. 10 Lacs. On 01/102004 building is constructed on this land after spending rs. 5 lacs.

Ques 1 Now in books , Whether land & building to be shown separately at rs. 10 lacs as land and building at rs. 5 lacs resp.

ques. 2 whether dep @ 10% will be allowed on 15 lacs (incl. land ) or on rs. 5 lacs.

Ques.3 If dep. is allowed on rs. 15 lacs, Suppose land is sold on 31/03/2006 for rs. 20 lacs then how will capital gain be calculated.

Whether STCG & LTCG be calculated separately. if yes, How?