Tag: capital gains tax

Latest StoriesRegulatory

Capital Gains Tax Benefit Stays Valid Despite Delayed Deed: ITAT

MUMBAI: A recent ruling by the Income Tax Appellate Tribunal (ITAT) may prove beneficial for taxpayers engaged in under-construction or redevelopment projects. The ITAT determined that tax relief on capital gains cannot be denied solely because the final conveyance deed is executed after the stipulated period, provided the taxpayer has established enforceable rights in a specific residential property and made the investment within the required timeframe. According to Section 54 of the Income-tax (I-T) Act, taxpayers can receive capital gains relief if they reinvest funds from the sale of a house into another residential property. The ITAT has approved a…

Latest StoriesRegulatory

No capital gains tax if flat’s sale price matches cost: ITAT

MUMBAI: The Income Tax Appellate Tribunal (ITAT) has determined that capital gains tax cannot be applied when the sale price of a property matches its purchase price, despite initial disagreements from the I-T officer due to documentation issues. In a recent decision, the Mumbai bench of the tribunal supported the appeal from taxpayer Kamini V, reversing a Rs 42.5 lakh addition made by the tax department under ‘short-term capital gains’ for the fiscal year 2015-16. The case involved a jointly owned residential property bought for Rs 85 lakh and sold two years later for the same amount. The I-T officer…

Latest StoriesRegulatory

Nagpur: I-T Dept Discovers Selective Realty Deal Under-Reporting

NAGPUR: The income tax department has identified a distinct pattern of underreported transactions by the property sub-registrar offices (SRO) in the area during its ongoing investigation. It has been specifically observed that transactions involving a select group of builders in the city were not completely reported in the Statement of Financial Transactions (SFT). Sources indicate this trend has been recurring. The SFT is designed to ensure that every SRO reports property deeds registered for amounts of Rs30 lakh and above to the Income Tax department. This allows them to cross-reference these with the tax returns filed by buyers and sellers.…