What expenses can be included in cost of acquisition

ITR 2497 views 5 replies

Dear Sirs,

When I purchase or sell shares/MF, amounts in the following heads are also paid.

Brokerage + GST

Exchange Transaction charges

STT

Sebi turnover fees

Stamp duty.

Some are minuscule, but some charges like the brokerage, STT are high. For the purpose of ITR2 filing, of these which expenses can be included in cost of acquisition and which can not be? I am an NRI and this is for the purpose of calculating capital gain/loss.

Your response is appreciated and thanking you in advance.

Regards

Rose



 

Replies (5)
You may include all the expenses related to that transaction.

The cost of acquisition can include Stamp duty, ETT, other security charge etc. 

As per my knowledge...


As per 7th proviso to sec 48,
STT paid on sale/pur of shares/unit shall not be allowed under CG.
so as per normal provisions u can claim all expenses except STT.



also refer CH XII A optional provision for NRI (if u want to want to opt for this one)
so as per this special provision
in case of investment income from some specified transactions (acquired in foreign currency) it will be taxable @ 20% but no exp , no deductions

in case of LTCG from some specified transactions (acquired in foreign currency) will be taxable @ 10%
no indexation no ded but u can claim expenses.

(guys kindly let me know if otherwise)

Thank you all for your valuable inputs.

Cost of Acquisition (COA) means any capital expense at the time of acquiring capital asset under transfer, i.e., to include the purchase price, expenses incurred up to acquiring date in the form of registration, storage etc. expenses incurred on completing transfer.


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