Long term capital gain

Sir /Madam , Mr A acquired ancestral property through partition by virtue of Registered Partition Deed in the FY 91-92. The market valuation of the total property ( without partition ) as per valuation report by valuer was Rs 3,44,880 as shown in registered partition deed . The valuation Report has been misplaced . Mr A acquired HALF  of it by way of partition. He spends various amounts in renovating his HALF  share by spending around Rs 4,00,000 in FY 92-93. Rs 4,00,000 in FY 2001-02 as the property was old and in shambles.. But he does not have bills of construction material , labour and other expenses incurred in renovation . He sells this property for Rs 57,00,000.in the FY 2013-2014. He has not filed his income tax return till date . Can he claim cost of improvement which he had incurred in its renovation .He does not have documents to support that expenditure . Stamp Duty paid was around Rs2,50,000/- What will be his LTCG Liability if he files his return in FY 2015-16

Replies (1)

In this case there will be a problem when this case select for scrutiny.  And hence Documents presence is must.  Try to collect duplicate documents or valuation report taken on that particular year from valuers today also.   For renovation bills will be also taken by some contractors on the particular dates.

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