Sale of assets....urgent

Tax queries 1126 views 15 replies

hi!

There r 2  assets in a block A & B valueing2,00,000 & 3,00,000 respectively.

I have sold asset A  @ 1,50,000   should i calculate capital loss, if yes, whether Short term or long term.

 

Thanks

Replies (15)

NO BECAUSE BLOCK IS NOT YET ENDED

NO U CAN NOT CALCULATE LOSS ON IT

Me too agree on this!!!

Originally posted by : future ca

NO BECAUSE BLOCK IS NOT YET ENDED

thanks u all.......

The block still exists and as such capitals gains will not occur due to sec. 50.

 

Reduce the sale value of asset A from the WDV of the block.

Originally posted by : Deepesh

The block still exists and as such capitals gains will not occur due to sec. 50.

 

Reduce the sale value of asset A from the WDV of the block.

Agree

No as assset does not  cease to exist you cannot can book loss all u can do is that u can reduce sale ammount from  block of assets.

Originally posted by : sunilagarwal
No as assset does not  cease to exist you cannot can book loss all u can do is that u can reduce sale ammount from  block of assets.

u can not calculate loss on this sale as the block still exists...........

 you should not to calculate the capital gain on sale of assets because as per section 50 (1) and (2) block is still exist. so you keep enjoying the depreciation on remaining value of block i.e 50000 in nexy previous years ...................... 

I m also agree

Originally posted by : future ca

NO BECAUSE BLOCK IS NOT YET ENDED

Sec-50C (1)/(2) requires the block of asset either to get exhausted in terms of value or in terms of quantum and since the asset is posed for depreciation only shirt term capital gain / loss is accounted for here..,

 

In your case neither the asset not the quantum is exhausted so 50C doesnt apply to u...

The block still exists and as such capitals gains will not occur due to sec. 50

agree....


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