As per Rule 9 of Capital Gain Accounts Scheme, 1988, the procedure of withdrawal from Capital Gain Account Scheme is as follows: Withdrawal from Account-A Amount can be withdrawn from Account-A at any time after making initial subscription by depositing Form C along with the pass book in the deposit office. For any withdrawal from […]
Is there any benefit available in respect of re-investment of capital gain in any other capital asset?
A taxpayer can claim exemption from certain capital gains by re-investing the amount of capital gain into specified asset. The following table highlights the assets in respect of which the benefit of re-investment is available: Section under which bene fit is available Eligible Assessee Gain eligible for claiming exemption Asset in which the capital gain […]
Are any capital gains exempt under section 10?
Section 10 provides list of incomes which are exempt from tax amongst those the major exemptions relating to capital gain are as follows: Section 10(33): Long-term or short-term capital gain arising on transfer of units of Unit Scheme, 1964 (US 64) referred to in Schedule I to the Unit Trust of India (Transfer of Undertaking and […]
How to compute short-term capital gain?
Short-term capital gain arising on account of transfer of short-term capital asset is computed as follows: Particulars Rs. Full value of consideration (i.e., Sales value of the asset) XXXXX Less: Expenditure incurred wholly and exclusively in connection with transfer of capital asset (E.g., brokerage, commission, etc.) (XXXXX) Net Sale Consideration XXXXX Less: Cost of acquisition (i.e., […]
How to compute long-term capital gain?
Long term capital gain arising on account of transfer of long-term capital asset will be computed as follows: Particulars Rs. Full value of consideration (i.e., Sales consideration of asset) XXXXX Less: Expenditure incurred wholly and exclusively in connection with transfer of capital asset (E.g., brokerage, commission, etc.) (XXXXX) Net sale consideration XXXXX Less: Indexed cost of […]
What is the meaning of the term ‘long-term capital asset’?
Any capital asset held by a person for a period of more than 36 months immediately preceding the date of its transfer will be treated as long-term capital asset. However, in respect of certain assets like shares (equity or preference) which are listed in a recognised stock exchange in India, units of equity oriented mutual […]
What is the meaning of capital asset?
Capital asset is defined to include: a) Any kind of property held by an assessee, whether or not connected with business or profession of the assesse. b) Any securities held by a FII which has invested in such securities in accordance with the regulations made under the SEBI Act, 1992. However, the following items are […]