I received independent house in Chennai under a will from my father in 1984.i kept the property till 2012 and Through settlement divided among 2 sons and my spouse.paid LTCG for myself and another son.my wife and elder son invested the funds in buying another property. My son want to sell one flat received under JDA now after holding for 4 years.flat received in April 2015.pl advise how to arrive the cost of acquisition of the flat. 1) cost of UDS multiplied by cost of land per sq ft in 2001 plus indexation cost as of 2019. 2) normal construction cost of flat for 1435 sq ft as per govt guide line. 3) I have incurred wood work expense of around 3 lakhs.pl advise the method is correct.skdhar
What is the settlement done in 2012? Is it JDA?
When did you son enter into JDA?
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Dear Sir,
Hope you are doing well !!
Please take a phone consultation for detailed discussion.
Hello,
Taxation of the flat received under JDA would depend upon how the Capital Gain tax was paid on the JDA. Since the JDA was done before 31st March 2017, older provisions of JDA were applicable, where the were no clear guidelines for taxable value of the JDA since it required to tax the JDA on the date of signing/execution of the JDA. To calculate the cots of acquisition and ultimate LTCG fro the flat received under JDA, you need to provide us the details of the JDA and LTCG paid on it.
I hope that this answer satisfies your requirements.
Regards,
CA Hunny Badlani
Hi
The query is not very clear.
Cost of acquisition shall be stamp duty value of the property on the date of completion of project.
Its better to enter into separate agreement for sale of furniture and fixtures which shall not be liable to tax.
