Capital Gains – Test 4

Mr.Ghulam has acquired 1,000 shares in 2015 for Rs. 100 per share. The company offered him 100 bonus shares on November 10,2018 on the basis of original shares held by him. The market price of such shares was Rs.200 per share as on November 10, 2018. What should be the cost of acquisition of such bonus shares ?

Mr. Mustafa has acquired 2,000 shares in 1995 for Rs.200 per share. The company offered him 1,000 bonus shares on November 10,1999 on the basis of original shares held by him. The market price of such shares was Rs.300 per share as on April 1, 2001. What should be the cost of acquisition of such bonus shares ?

Where any advance received for sale of property has been forfeited by the seller, then it should be

Mr.Z has acquired house property in 1990 for Rs.50 lakhs. He had incurred Rs. 2 lakhs on construction new floor in June 30, 2000. He had also incurred Rs. 5 lakhs for construction of another floor on July 10, 2002. What would be the cost of improvement of such house property before indexation ?

Mr. Y has acquired house property in 1990. He had incurred Rs. 10,000 on normal repair and maintenance of house property on August 10, 2007. What would be the cost of improvement of such house property before indexation ?

Mr. P has acquired house property in 1989. He had incurred Rs. 1 lakh on construction of few rooms on September 15, 2007. Mr. P gifted such house property to his son Mr. Q on June, 30, 2018. Mr. Q had incurred Rs. 2 lakhs on construction of new floors of the building in 2017. What would be the cost of improvement of such asset without indexation?

On which of the following assets, benefit of indexation will not be allowed ?

In which of the following cases, benefit of indexation will not be allowed ?

What is Zero Coupon Bonds ?

Zero Coupon Bonds shall be treated as short-term capital asset, when it is held for a period of

Long-term capital gains on Zero Coupon Bonds shall be taxable @_

Capital asset of Mr.KK was damaged in fire in August, 2016. He received consideration for such loss from insurance company on September, 2018. In which of the following year, capital gains shall be chargeable to tax ?

Certain asset of Mr.JK worth Rs. 10 lakhs was damaged in fire in August, 2015. He received another asset from an insurance company for such loss on October 10,2018. The fair market value of such new asset was Rs. 9 lakhs on October 10,2018. What would be the full value of consideration of such asset for computing capital gains ?

Mr.JJ has purchased 2 plots of land worth Rs.20 lakhs each on
April 10, 2015. On july 10,2011, he started business of real estate by utilizing such plots of land. He constructed buildings on such land and sold such buildings on August 16, 2018. In which year, capital gain laibility will arise to tax conversion of capital asset into stock-in-trade ?

Mr. JP has purchased a plot of land worth Rs. 30 lakh on April 20, 2006. On July 15, 2012, he started business of real estate by utilizing such plot of land. The market value of land as on July 15, 2012 was Rs. 50 lakhs. He constructed buildings on such land sold such buildings on August 20,2018 for Rs. 10 crores. What would be considered as full value of consideration to tax conversion of capital asset into stock-in-trade ?

Mr.PJ has purchased a plot of land worth Rs.40 lakhs on May 20, 2006. On August 20,2013, he started business of real estate by utilizing such plot of land. The market value of land as on July 15, 2012 was Rs. 1 crore. He sold such land on December 20, 2018 for Rs.20 crores. What would be considered as income from business or profession ?

Mr. Raj has acquired a property in 2002 for Rs. 10 lakhs. On April 10,2018, he was admitted as a partner in a firm and he had introduced such property as capital contribution on he same date. The firm recorded such property at Rs.20 lakhs in its book, whereas the market value in its book, whereas the market value of such property as on April 10, 2018 was Rs. 30 lakhs. What would be full value of consideration of such property introduced in the firm as capital contribution ?

Mr. Taj has acquired a car in 2012 for Rs.5 lakhs. On May 10,2018, he was admitted as a partner in a firm and he had introduced such car as capital contribution on the same date. The firm recorded such car at Rs.4 lakhs in its book, whereas the market value of such car as on May 10, 2018 was Rs. 2 lakhs. What would be the amount of capital gains on such car introduced as capital contribution ?

M/s R & K associates is a partnership firm, which has dissolved on March 31, 2018. Assets of the firm were distributed to partners. Mr. R, one of the partner of the firm gets certain asset at Rs. 4 lakhs as per agreement. The market value of such asset is Rs. 5 lakhs on such date. What would be the full value of consideration in such case ?

Where a capital asset other than_________ has been compulsorily acquired, it will be treated as transfer in the PY in which asset is compulsorily acquired u/s 45(5) ?

The Government has acquired rural agricultural land of Mr. Kisan during the PY 2014-15. However, Mr. Kishan has received compensation in the PY 2018-19. In which year, capital gains on such compulsory acquisition will be chargeable to tax ?

The Government has acquired rural agricultural land of Mr. Vishal during the PY 2017-18. However, Mr.Vishal has received compensation during the PY 2018-19, 2019-20 and 2020-21. In which year, capital gains on such compulsory acquisition will be chargeable to tax ?

The Government has acquired rural agricultural land of Mr.Dilip during the PY 2014-15. However. Mr.Vishal has received compensation of Rs. 10 lakhs during the PY 2015-16. Dilip is not satisfied with the amount of compensation and he field an appeal in order to get enhanced compensation. His compensation is enhanced and he got additional compensation of Rs. 10 lakhs during the PY 2018-19. In which year, enhanced compensation will be taxed ?

The cost of acquisition and cost of improvement of enhanced compensation shall be

In case, compensation on compulsory acquisition of land is challenged in a Court, and finally such compensation is enhanced, the enhanced compensation shall be taxable in the year in which

The assessee has paid capital gains tax on the amount of compensation awarded for compulsory acquisition of land. Subsequently such compensation is reduced by the Court. What would be the remedy available to assessee in such a case ?

Mr. Rinki has entered into a Joint Development Agreement with a builder on February 1, 2015, as per which builder will construct three floors on the plot of land. He handed over the land to developed for construction on April 10, 2016. Such project is completed on April 20, 2018 as per certificate of completion. In which year, capital gains would be charged to tax ?

On which of the following assets, non-resident may neutralize exchange rate fluctuation as per first proviso to section 49  while computing capital gains ?

When can a non-resident neutralize exchange rate fluctuation, under first proviso to section 48 on transfer of shares/debentures of Indian  company ?

Under first proviso to section 48, sales consideration is converted into foreign currency by using