• Excess amount on transaction

Sales consideration amount paid as per guideline. But for the sale, received amount in account additional amount over and above declared in document. Can the additional amount treated as related to sale consideration and taxed as capital gains
Asked 3 years ago in Capital Gains Tax

Yes. For detailed discussion,please call telephonically.

Vivek Kumar Arora
CA, Delhi
4825 Answers
1030 Consultations

5.0 on 5.0

Dear Sir,

 

Hope you are doing well !!

 

Yes, it would be treated as part of sales consideration only and taxed as capital gains.

 

You may claim capital gain tax exemption by reinvesting the capital gains into a new residential house property under section 54 or section 54 EC eligible bonds within the stipulated time limits

 

We may assist you in entire tax planning.

 

It is advisable to take a phone consultation for detailed discussion.

 

Payal Chhajed
CA, Mumbai
5188 Answers
288 Consultations

5.0 on 5.0

Yes, the additional amount can be considered for the capital fain calculation. However, it would depend upon the surrounding facts and documents in this regard.

 

I hope the additional amount is not taken in cash.

Lakshita Bhandari
CA, Mumbai
5687 Answers
908 Consultations

5.0 on 5.0

Yes, if the excess amount is in connection with the sale it will definately be treated as sale consideration. 

 

If the amount is received for any other transaction, you should justify the reason and documents for such additinal receipts.   

Jasmina Jain Shah
CA, Greater Mumbai
454 Answers
4 Consultations

5.0 on 5.0

That's not good to receive amount over and above sale consideration in account.

You can declare entire amount in Income Tax and pay tax on same.

Naman Maloo
CA, Jaipur
4265 Answers
96 Consultations

5.0 on 5.0

Ask a Chartered Accountant

Get tax answers from top-rated CAs in 1 hour. It's quick, easy, and anonymous!
  Ask a CA