I have a query related to Capital Gains Tax. I bought a Flat in Pune in Oct 1997. Same Flat was sold on 15 April 2009. Agreement To Sale was done on 23 March 2009 along with Stamp duty. Sale-Deed was done on 15 April 2009. Possesion to buyer was given on 15 April 2009. In my case,transaction has been completed in TWO different Financial Years. F Y 2008-2009 As per Agreement To Sale basis AND F Y 2009-2010 As per Sale-Deed / posseion basis. Which Financial Year should be considered for computing Capital Gains Tax ?? Question is important because, indexation will be different in BOTH cases.
1 Answers
Sale agreement does not have much significance in capital gain computation.
Date of transfer is used in all computation. Such date is date of registration/possession. You should compute considering sale year as 2009-10 only. This would also lower your gains and income tax liability.
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