Section 45(1A) - Capital Gains on Insurance Claims For Damage or Destruction of Capital Asset

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..... thquake or other convulsion of nature, or * Riot or civil disturbance or * Accidental fire or explosion or * Action by an enemy or action taken in combating an enemy * then any profits or gains arising from such money or the FMV of other assets received from insurance company shall be deemed to be sales consideration for computing capital gains. * Capital gains shall be taxable in the ye .....

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..... be done till the year of damage or destruction. * If stock insurance and on loss of stock insurance, compensation received, then this section not applicable as capital asset does not include stock in trade. SUMMARY OF SECTION Asset Destroyed :- * Capital asset * Due to Natural calamities, accidental fire, riots, action of enemy - Insurance Compensation taxable u/s 45(1A) * Other causes .....

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