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Regarding calculation of tax during sale of plot

Tax queries 446 views 3 replies

Sir,

I have one agriculture land bought 20 years ago. Now I have done plotting on it. Now please tell how indexation calculation will be done for sale on individual plots as earlier it was a whole land and now it is divided into plots of various sizes. 

Thank you

Replies (3)

Get valuation certificate from registered valuer as on 01.04.2001, for sq. mt. rate of the land in the area.

Sir

Please tell what is the whole procedure ?

in your case both long term capital gains(conversion of capital asset in to stock in trade as per section 45(2)) as well as business income (sale of plots) will be charged to tax


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