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2012 (10) TMI 81 - AT - Income TaxTax on Long Term Capital Gain - sale of shares - The overall consideration was Rs. 86.25 lakh. - in this year a sum of Rs. 60.00 lakh only was received. The balance was to be received in three succeeding years - the whole of the cost has been claimed by the assessee while computing capital gains by taking the sale consideration at Rs. 60.00 lakh. The question is - whether, the whole of the sale proceeds of Rs. 86.25 lakh or only a sum of Rs. 60.00 lakh is liable to be considered for the purpose of levy of capital gains? Held that:- Tax on Long Term Capital gain is chargeable to tax in the year in which income accrues, arises or received and is deemed to accrue, arise or received - As decided in case of CIT VS . Bharat Petroleum Corporation [1990 (11) TMI 23 - CALCUTTA HIGH COURT ] Calcutta High Court income accruing in different years or received in different years is chargeable in the year in which transfer takes place. Further in the case of Ashokbhai Chimanbahi [1964 (10) TMI 11 - SUPREME COURT] income is taxable when it accrues, arises or is received and full value of consideration received or accruing in any year as a result of transfer of the capital asset shall be taxed in the year in which transfer takes place – in favour of Revenue.
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