Comp acquisition of land
RAJESH CHOUDHARY
(Querist) 30 December 2011
This query is : Resolved
Respected experts,
Here is one query my client has asked me...i want ur help....He got the compensation on sale of his land after abt. 5years from its sale..So he recd. the sale amount and interest on it also..how the interest will be taxable? and the capital gain will be taxable in the year of sale or in the year of compensation recd?..its not a compulsory acquisition.....
Please reply me as soon as u can.
thanks in advance...
pkpworld..
(Expert) 30 December 2011
Gain from the sale of land will be treated as income and will be considered for taxation under the head "Income from Capital Gain". Secondly the interest income will also be treated as income and it will be considered for taxation under the head "Income from other sources".
prabhakar singh
(Expert) 31 December 2011
Taxation may be either on accrual basis or on receipt basis but if return of past has been already submitted ,now it can be on only receipt basis i.e.in the year of receipts.
RAJESH CHOUDHARY
(Querist) 31 December 2011
thanks experts for your wonderful reply...
wish u happy new year sir...
