CAPITAL GAIN TAX
Querist :
Anonymous
(Querist) 02 February 2011
This query is : Open
I AM HAVING COLLECTORS LAND IN MUMBAI UNDER THE LAESE DEED FOR 99 YERAS. MORE THAN 90% OF LAND IS SUBLEASED OR GIVEN TO TENANT THE SAID SUBLEASED AND TENANTS ARE HOLDING THEM FOR MORE THAN 20 YEARS SINCE ALL THE OCCUPANTS ARE DESIROUS TO GET THIS PROPERTY REDEVELOP, THE BUILDER HAS AGREED TO GIVE SPACE IN THE NEWLY CONSTRUCTED PREMISES AND TO LESSEE A LUMPSUM AMOUNT FOR ASSIGNING THE RIGHTS TO GET THE PROPERTY REDEVELOP + THE SPACE HOLD BY LESSEE HIMSELF.
MY QUESTION.
1.HOW THE VALUATION WILL BE DONE FOR CAPITAL GAIN TAX PURPOSE ?
2.ON WHAT AMOUNT THE CAPITAL GAIN TAX WILL BE APPLICABLE TO LESSEE WHO IS ASSIGNING THE RIGHTS.
3. THE AMOUNT RECEIVED IN LUMPSUM WILL BE TREATED AS LONG TERM CAPITAL OR OTHER INCOME?
4. SCOPE AVAILABLE FOR TAX PLANNING.
