Land leveling expenses whether to capitalise or not

CA Abhishek Goyal (Chartered Accountant) (504 Points)

24 June 2014  

Dear Sirs,

I am possessing a land on which have incurred Leveling Expense and then land is sold, My Query is whether such leveling expense be capitalised or not? While calculating Capital Gain whether such expense be included in cost of improvement or Expenses? Kindly revert on the issue.laugh