• Got Income tax department notice about capital gain


I want to mention some specific information about the above land and issue facing now,
1. Land Area- 4.2 Acre, Parental  Agriculture Land , Situated in Rural Area of Nalanda ,Bihar. I got this land after division  among 5 brothers of family.  
I sold the above land in Aug-13 to my Elder Brother's Wife( My Bhabhi) in Rs. 38.54 Lakhs(as per paper) but received only  23 Lakhs due to family transaction. I didn't mention this in the ITR filed for the year.

With the above money and adding some extra in I purchased 26.48 Lakhs Flat in Ramgarh, Jharkhand in July-2015 in the name of My Spouse and DDA flat of Rs. 13.19 Lakhs in June-2015 at Delhi in the name of my  Daughter. It amounted total of 39.67 Lakhs.

I got notice from IT department through mail  on 28-oct-15 about mismatch of Information in ITR 1/4S filed by me and from source AIR form 61A from District Sub-Registry office, Dist. Registrar, Nalanda, Bihar mentioning that the information filed in ITR doesn't have information about the transfer of property. I had to respond if I have knowledge about this transfer of property or not ?I was given 15-Days time to respond about this mismatch which not responded. Again I got notice on 10-12-2015   with requirement of response till 20th Dec-2015. Which again i didn't responded. From then I got no notice.

I want to add some more information about property transaction done in Aug-12, I purchased 23.5 Dismil of around 23 Lakhs  Agriculture Land in a  Hethu village of Ranchi District of Jharkhand.  

In view of above information and notice from IT department, How should I respond and what should I do to clear this issue with IT department to close the chapter.
Asked 2 years ago in Capital Gains Tax from RAMGARH, Jharkhand
Dear Sir,

Legally you need to pay tax on the sale value of the proeprty actually received by you i.e. Rs. 23 Lacs or Jantri Value of the Property whichever is higher.

With respect to the notice you need to submit the details and declarations otherwise a tax demand shall be generated and you will have to pay the same or same shall be deducted from any of your refund dues.
Vishrut Rajesh Shah
CA, Ahmedabad
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You can mail at modani005@gmail.com or call us for clear understanding.
Shyam Sunder Modani
CA, Hyderabad
1408 Answers
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You need to respond to the notice by providing the information about the transaction. 
B Vijaya Kumar
CA, Hyderabad
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Dear Sir,

It will be preferred if you reply to the notice with all the due details at your disposal to avoid further complication. As it is the department has the information about your Sale of property against which they may pass an ex parte order if you do not reply.

Hope this clarifies your query.

Feel free to get back for any further clarifications.

Thanking You.

CA Rohit R Sharma
Rohit R Sharma
CA, Mumbai
2104 Answers
91 Consultations

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