Help needed in capital gain and tax planning

In case of ancestral property, the cost of acquisition shall be the cost of purchase to the previous owner. 

The capital gain is computed on value given in the sale agreement which may include both cheque and cash.

Yes... I got that purch. price of previous owner is to be considered

but there's in no proof of purchase price of Gold, No bills no receipt whatsoever??//

How can we take Cost of Acquistion in that case if the IT Dept. Demands clarification???

Dear Shikha,

Since there is a practical problem, what you can do is, take the weight of the gold and multiply it with the average rate of the Gold at the end of the year in which it was purchased. That is the only solution you have

As far as the question on the plot goes, …no..the purchase consideration will be the original agreemtn value..ofcourse adjusted for the indexation.

And is a new flat  is booked, and even if the transaction is in cash, obviously an agreement will have to be made for the stamp duty value….that can be taken for the exemption calculations….

Can we show some money (CAsh money 3.5Lacs for sale of plot) received from her own mother as LOAN and interest is to be paid thereon?

What proof can we produce for such before authorities if asked??

on Rs. 100 Stamp paper agreement notarised or waht else??

How much interest rate cap is ther???

Yes legally speaking, you can show a loan…but then there may be problems like why is interest not being paid and all that…

Instead, you should show the same as gift…here there will be no problems, since a gift from mother is exempt (it being received from a relative)

You can make a simple gift deed and keep it for records…and if demanded by the Income Tax Dept., you can produce the same

You are welcome Shikha,

Incase you have any other queries, please feel free to ask

Back dated loan agreement on a stamp paper cannot be done. Each stamp paper is dated, and so will the notary on it, which shall be the current date.