Please Help: INCOME TAX
Posted Date : 06-Feb-2013 , 03:51:20 pm | Posted By ram niwas
land used by asessee for his factory.later on factory closed. land sold to four buyers. is there any SC CITATION STATING THAT IT IS CAPITAL GAIN AND NOT ADVENTURE IN NATURE OF TRADE
Category : Income Tax | Answers : 1 | Comments : 1 | Hits : 135
Answers
Answer By: CA Gaurav Kumar Agarwal
If the assest is Depriciable (as per ur ques. it is dep. assets) and there is any profit arrising out of sale proceeds then the same will be STCG...
Comments
ashish dalmia
09-Feb-2013 , 05:10:35 pmno where in any thought of immagination LAND is and object for depriciation (neither in accounting standards nor in i.t act read with sec 32 ) so in ur case land is sold out and it is a capital asset as well as asset specified in wealth tax to leavy tax . so by the applicable provision of sec 48 and 49 with sec 55 of COA the outcome will work out and accordingly will be liable for tax on capital gains made subject to sec 54 to 54f