PLZ FIND TAX ON LTCG TAX ON FOLLOWING INCOME

Its B ofcoarse...

Hi Umashankar,

First of all, Education Cess & Surcharge are not applicable to normal slab rates as well as special rates like STCG, LTCG. So, the % to be applied is 20.

The second option is right. The cost of acquisition must be reduced from the Gross sale proceeds & then tax must be calculated on the balance (capital gains). Further, since it is LTCG, cost of indexation must be calculated for obtaining the correct cost of acquisition.

Option (B) is right.

what hero where is the acquistion cost

why u are are tempting to pay that much tax 

u can claim expenditure for acquistion cost ot the land and

by taking indexation u can increase the value of acquistion by indexation( actually to the current prices)

and later caluculate the capital gain

i for got to ask when did u purchase the land

if it is more than 36 months old then it can be clamed as ltcg in which we can work out indexation

and if less than 36 month then stcg should be worked out and i think that the indexcation is not applicable

for got to say u can work out ltgc without indexation

for indexation and without indexation the rate of tax differs

See friend I hope the question says LTCG is 650000 and not sale proceeds..Regarding the options i guess there are 2 things to consider

1. the residential status of Mr.A..only resident individuals can claim the unexhausted basic exemp from LTCG

2.Other incomes of Mr.A..If he doesnt have any other income taxed at normal rates then only the basic exemption can be claimed from the LTCG

After considering both this go for option A r B

I hope am right

Hi,

Hareesh is correct and agree with him

hiii dear,

As per proviso to section112(1)(a) gives a relief for the exemption amount if any individual have no other income or income less than exemption limit,so option B) 650000-160000 X 20.60 = 100940 is correct

option (B)

because basic exemption is available from LTCG & STCG..

Yes Option B....

assuming that he does not have any other income...