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Long Term Capital Gains on sale of Flat

Tax queries 112 views 2 replies

Krishnadutt

Faculty

26 Points Joined January 2015

I booked a flat in the year 2012 for a consideration of Rs. 5200000. Periodic payment was made as per the progress of construction. Final installment was paid in December 2017. I took possession of the flat in March 2019 and disposed it in May 2019 for Rs 5800000. There was no registration of the flat in my name at any time. What is my Capital Gains liability in this case considering that payment was made in installments over a period of about 6 years before possession in March 2019 and holding for just about 1 month before disposal in May 2019?

Please advise.

Replies (2)

CA NEHA RAMPURIA

Taxation Consultant

1823 Points Joined October 2010

There was no registration of the flat in my name at any time . then whose the owner of the house and how did you sell it, i mean at the time of sale , what was the name of the seller in the deed?

abhay garg

Senior auditor

110 Points Joined March 2010

You got the ownership (significant amount of consideration paid and Handover letter received) in march 2019. Hence, the asset will be considered as 'short term capital asset' and any gain arising out of it will be considered as 'short term capital gain.