Capital gain, Income Tax

[ishwar hegde]

sir,

we have given open plot for builders iand they give us 2 flats to us as cosidatation we have not yet taken the possesion of the flats. whether we have to pay tax on capital gain during this year? what is the proceedure in this regard? when the actual tax liability occaurs? plz let me know at the earliest.

than you

Posts / Replies

[Rama Krishana]

It the event of transfer of land in favor of builder that give rise to computation of capital gain. To ascertain the date of transfer, relevant documents, agreement etc. are to be examined. The possession of flats may be a relevant factor for ascertaining the consideration, but taxability is independent to that to be ascertained separately.