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Section 50 c

Ashish Ranpara (TAX CONSULTANT) (369 Points)

07 May 2013

LETTER ISSUE BY INCOME TAX DEPARTMENT ON SALE OF IMMOVABLE PROPERTY U/S. 50C ON SUBMITTION OF ALL THE DOCUMENT AS ASK BY THE DEPARTMENT CAN DEPARTMENT ISSUE NOTICE U/S. 148?

PROPERTY IS PURCHASE RS. 704550/-[INCLUDING STAMPING AND REGISTRATION CHARGES] YEAR OF PURCHASE 1998

SALE OF PROPERTY RS. 490000/- ,[VALUATION OF PROPERTY U/S 50 C RS. 743893/-] YEAR OF SALE 2006

I AM SUBMITTING CALCULATION OF CAPITAL GAIN, COPY OF ITR AND COMPUTATION OF INCOME, BALANCE SHEET, PROFIT AND LOSS ACCOUNT AND CAPITAL ACCOUNT, AS ASK BY THE DEPARTMENT,

AFTER SUBMITTING THE DOCUMENT DEPARTMENT ISSUE NOTICE U/S. 148 TO RE-FILE ITR I AM ALSO RE-FILE THE SAME; HOW MUCH TIME TO TAKE CLEAR THE SAME AND WHETHER ANY MISTAKE IS DONE MY END OR NOT AND

NOW WHAT I HAVE TO DO?

IT'S VERY URGENT

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7 Replies

(Guest)

Income belongs to which year?

Ashish Ranpara (TAX CONSULTANT) (369 Points)
Replied 08 May 2013

REGARDING ASSESSMENT YEAR 2006 - 2007

(Guest)

As per Section 50 C the value of property should be Stamp duty value, for the purpose of computation of Capital Gain .

As Stamp Duty Value exceeds the sale value of the property.

So here was your mistake in filling return of inomce, the department is right.

As per section 148, the department can issue notice to file return of income for the period as department considered necessary.

if you think the property was not in the state to earn the stamp duty value and it could only realise the sale value, then you can ask the A.O the compute the value of property.

Ashish Ranpara (TAX CONSULTANT) (369 Points)
Replied 09 May 2013

DEAR ASHISH BARTHWAL MY QUESTION IS THAT AFTER ISSUING NOTICE REGARDING SECTION 50 C CAN DEPARTMENT ISSUE NOTIC U/S. 148 OR NOT? AND HOW MUCH TIME TAKE TO CLEAR THE MATTER,

I AM ALSO GIVEN AMOUNT OF PURCHASE OF PROPERTY, YEAR OF PURCHASE OF PROPERTY , SALE VALUE OF PROPERTY, YEAR OF SALE OF PROPERTY, AND ALSO AMOUNT AS DETERMINED U/S. 50C. THERE IS PURE CAPITAL LOSS AND MATTER IS CLEAR SO WHY DEPARTMENT ISSUE NOTICE U/S. 148. AND TAKE TOO TIME TO COMPLET THE MATTER?

(Guest)

notice u/s 148 can be issued after the service of notice u/s 143 or 144, hence department can issue notice u/s 148 even if any earlier notice is already served upon on you.

what are the reasons behind this assesment , only department knows, it's not possible for me to make assumptions on it.

the time limit for completion of assessment is mentioned u/s 153 is 9 months from the end of the financial year in which notice is served