STCG/LTCG (Capital Gain) query and amount to be paid/can be saved

In my opinion, the Date of Acquisition will be in April 2008 as it Satisfies all the conditions of Sec. 53A of the Transfer of Property Act.

If you sell your property on or before April 2011, it will amount to Short Term CG, else, Long term CG.

If it is Long Term Capital Asset, you will get the benefit of Indexation.

So, your cost 7 Lacs will be index and increase accordingly.

If it is STCG, then no benefit of indexation and the cost will remain 7 Lacs only.

Originally posted by : JG
	Hi, I have taken a proeprty in Pune with the details as below 1) Booking agreement 1st Nov 2007 - Registered with Sub Registrar on same date and stamp duty and registration paid 2) Index II date for above booking agreement - 1st Nov 2007 3) Possession Date : April 2008 4) Final Payment check to Builder : Jan 1st 2009 - as the date fall under 2008-09 the same would have been capitalized in 2008-09 - so u can consider the index benefit from jan 1st 2009  5) Agreement Amount (bought from builder): 12 Lacs 6) Selling Price (planned) : 19 Lacs I wanted to check if i want to sell the property in Jan-Feb 2010, will it be considered as Short Term Capital Gain or Long term Capital Gain. Also would the tax be calculated on the 7 Lacs? Please note that there is no SALE DEED as on date made by the builder. thanks for your inputs Thanks JG

it wil not rank for ltcg untill 01-01-2013

Hello Sharma,

Can you tell me how 01-01-2013 is being calculated as date to be considered for Long Term capital gains. Even if i take 01-Jan-2009 as last date and calculate 3 years, it will be 01-01-2012.

Appreciate your inputs.

- JG

its STCG

sorry it would be 2012 in place of 2013. 

Refer the Case law of Ahmed GH Ariff

if property is sell out before april 2011 is treated as STCG, else LTCG

LTCG- if you hold your property min. period of 3 years after u sell your propety after 3 years you can claim benefit of cost inflation indexation

thanks! for all