- TG Team
- | Income Tax - Articles- Featured
- 05 Feb 2017
- 20,046 Views
- 2 comments
Kaushal Kumar Agrawal
Markets of property, shares and jewellery are speculative in nature. People buy these assets either for security (Investment) or for speculation. The transactions in these assets are also subjected to capital gain tax.
Capital gain can be either long term or short term depending upon the period of holding. Long term is subjected to less tax than short term. Rate of tax on long term ranges from 0% to maximum 20%.
The other benefit of long term asset that they can be indexed. Govt. has come out with index table called Cost Inflation Index whose base year was fixed as 1-4-1981.
In Finance Bill 2017 the Govt. has taken a very bold step and has shifted the base year from 1981 to 2001 for the benefit of investors.
Also period of holding of land and / or building has been reduced from 36 months to 24 months.
Kudos to our Finance Minister Mr. Arun Jaitely. Wonderful job sir
More Under Income Tax
2 Comments
Leave a Comment
Latest Posts
- A relook at changes applicable for A.Y. 2018-19 – Part 1
- SC Ruling: Effect of dismissal of SLP filed before Supreme Court
- Meaning and Scope of Supply
- NO TDS Deduction on Reimbursement to Foreign Entity
- Appointment of a Company Secretary (CS)
- Situations in which Notices under Income Tax Act may come
- Types of Income Tax Notices
- GST Exemption on outward transportation of goods by air & sea till 30.09.2019
- Share Capital Audit Report Unlisted Public Companies
- CIT (A) justified in directing AO to examine issue of deduction U/s. 54F
Popular Posts
- Assessments under Income-Tax Act, 1961
- Tax on Long Term Capital Gain Under Income Tax Act, 1961
- GST Certification Course on Pen Drive by TaxGuru & GST Professionals
- Advance Tax Provisions, Challan, e-payment Utility & Examples
- All about TDS U/s. 194A, 194J & 193 of Income Tax Act,1961
- All about Interest Payable U/s. 234A, 234B & 234C
- Section 54- Exemption from Capital Gain arising on Transfer of House
- Section 54B Exemption on Capital Gains from Transfer of Agricultural Land
- Tax Deduction/Collection Account Number (TAN)
- Senior Citizens not having Business Income exempt From Advance tax
Featured Posts
- Assessments under Income-Tax Act, 1961
- GST Certification Course on Pen Drive by TaxGuru & GST Professionals
- Senior Citizens not having Business Income exempt From Advance tax
- Advance Tax Provisions, Challan, e-payment Utility & Examples
- Income Tax Offences liable to prosecution
- Power of Commissioner to Reduce or Waive Income Tax Penalty
- Penalties under the Income-Tax Act, 1961
- All about TDS U/s. 194A, 194J & 193 of Income Tax Act,1961
- Tax Deduction/Collection Account Number (TAN)
- Interest for Failure to Collect/Deduct & Delayed Payment of TDS/TCS
will it be applicable to property sold in financial year 2016-2017 ?
OFFHAND
In changing and re fixing the base year by itself may not be a bad idea ; and as such cannot be faulted.
Nonetheless, the nagging doubt in one’s mind this- does it stand to reason why the extant indexation has been left otherwise untouched ; except by simply adding the Index for 2016-17. To be precise, are not, by leaving the Index for the new Base year 2001-02 at 406,holders of property acquired before 1-4-2001 deprived of the benefit of indexation to that extent (i.e.406 points ) ?
Any different way of viewing or construing the change; over to tax pundits to enlighten !