Frequently asked questions
What is a capital gain?
Any profit or gain that arises from the sale of a 'capital asset' is a capital gain. This gain or profit is charged to tax in the year in which the transfer of the capital asset takes place.
No capital gains is applicable when an asset is inherited because there is no 'sale', only a transfer. However, if this asset is sold by the person who inherits it, capital gains tax will be applicable. The Income Tax Act has specifically exempted assets received as gifts by way of an inheritance or will.
How can long term capital gain from transfer of a residential unit minimized?
1. As per section 54, you can invest the gains in purchase of residential unit within a period of two years after the transfer; or one year before the transfer of the property, then the capital gain tax will be exempted.
2. If the assessee within a period of three years after the transfer of the property, construct a residential house then the capital gain tax will be exempted. The assessee shall not transfer the new house within a period of three years from the date of its purchase or construction.
3. Invest in Bonds specified u/s 54EC i.e REC or NHAI bonds (max limit: 50 lacs) to save taxes on your gains
What is rate of capital gain on Sale of shares and securities.
1. Rate of Tax - 15% i.e. Short term capital gain if shares or securities held for less than 12 months.
2. Rate of Tax - 10% i.e. Long term capital if shares or securities held for more than 12 months.
I have sold a house which had been purchased by me 5 years ago. Am I required to pay any tax on the profit earned by me on account of such sale?
House sold by you is a long-term capital asset. Any gain arising on transfer of capital asset is charged to tax under the head “Capital Gains”. The rate of tax for capital gain shall be 20%.
Can I file a revised return to correct mistakes made that I make in the original return?
It is possible to file a revised return if the original return has been filed before the due date and the Department has not completed the assessment. However, a revision is not possible for a return filed after the due date.
IT Return can be revised within a period of one year from the end of the relevant assessment year or before completion of the assessment whichever is earlier.
What is ITR V (Acknowledgement) Verification?
Once Income Tax Returns are filed, you need to verify it. It is not treated as valid until it is verified by the taxpayer. There are different ways of verification such as:
1. It can be printed, signed and sent to Centralised Processing Centre, Bengaluru.
2. It can be e-verified using an electronic verification code (EVC), Aadhar, ATMS, netbanking or bank account based validation.
ITR filing-Capital gain income (Shares & Securities)- Rs.2950
Capital Gains Tax return is to be filed when gains arise on account of sale of any shares, mutual funds or any securities. If shares or securities are sold within a period of 12 months from date of its purchase, the gains will be taxed as Short Term Capital Gain and as Long Term Capital Gain if sold after 12 months. Taxgoal advises you with the optimum investments that can be made which will enable you in saving capital gains tax and help you file your returns fast & easy.
Sold any Shares or Securities & made Gain on such sale? File your Capital gain return with taxgoal
What is capital gain income? What are types of capital assets?- Any Profit or Gain arising from transfer of a Capital Asset during the year is charged to tax under the head "Capital Gains".
- Capital assets include but not limited to Shares, Immovable property, Gold, Mutual funds etc.
- Assistance on Income tax queries on issues related to Capital Gain like type of Gain (Short term or Long term Gain) , Rate of tax on such Gains, Tax savings on such Gains etc.
- Filing of Income Tax Return
- Assist in payment of challan for discharging tax liability
- Review of Computation of tax and file return once approved by you
- Individuals who have sold any Shares, Units or Mutual funds etc.
- Not for Intra day or Derivative traders
- Capital gain statement for shares, securities, mutual fund sold
- Details such as PAN card no, AADHAAR CARD
- Bank details such as account no, IFSC code
- Bank account statement
- Proofs of Investments such as LIC premium paid, fees of children etc
- Details of any Advance Tax deposited
- Any other detail as required
| Plan Charges | 2500 |
| Goods & Services Tax (GST) | 450 |
| Total Cost | 2950 |
* Estimate Time for Service Completion
1-2 Days
What is a capital gain?
Any profit or gain that arises from the sale of a 'capital asset' is a capital gain. This gain or profit is charged to tax in the year in which the transfer of the capital asset takes place.
No capital gains is applicable when an asset is inherited because there is no 'sale', only a transfer. However, if this asset is sold by the person who inherits it, capital gains tax will be applicable. The Income Tax Act has specifically exempted assets received as gifts by way of an inheritance or will.
How can long term capital gain from transfer of a residential unit minimized?
1. As per section 54, you can invest the gains in purchase of residential unit within a period of two years after the transfer; or one year before the transfer of the property, then the capital gain tax will be exempted.
2. If the assessee within a period of three years after the transfer of the property, construct a residential house then the capital gain tax will be exempted. The assessee shall not transfer the new house within a period of three years from the date of its purchase or construction.
3. Invest in Bonds specified u/s 54EC i.e REC or NHAI bonds (max limit: 50 lacs) to save taxes on your gains
What is rate of capital gain on Sale of shares and securities.
1. Rate of Tax - 15% i.e. Short term capital gain if shares or securities held for less than 12 months.
2. Rate of Tax - 10% i.e. Long term capital if shares or securities held for more than 12 months.
I have sold a house which had been purchased by me 5 years ago. Am I required to pay any tax on the profit earned by me on account of such sale?
House sold by you is a long-term capital asset. Any gain arising on transfer of capital asset is charged to tax under the head “Capital Gains”. The rate of tax for capital gain shall be 20%.
Can I file a revised return to correct mistakes made that I make in the original return?
It is possible to file a revised return if the original return has been filed before the due date and the Department has not completed the assessment. However, a revision is not possible for a return filed after the due date.
IT Return can be revised within a period of one year from the end of the relevant assessment year or before completion of the assessment whichever is earlier.
What is ITR V (Acknowledgement) Verification?
Once Income Tax Returns are filed, you need to verify it. It is not treated as valid until it is verified by the taxpayer. There are different ways of verification such as:
1. It can be printed, signed and sent to Centralised Processing Centre, Bengaluru.
2. It can be e-verified using an electronic verification code (EVC), Aadhar, ATMS, netbanking or bank account based validation.