Capital Gains Tax Return
Services Covered
Expert Assisted Tax Filing
Documents To Be Submitted
Bank statements for the financial year
Buying and Selling Agreement/Details of the Capital Asset
Income and Expense statements
Form 26AS Tax Credit Statement
Bank statement if interest received is above Rs. 10,000/-
FAQ
What are capital gains and capital losses?
Capital gains are profits earned from the sale of capital assets such as real estate, shares or other investments. Capital losses occur when the sale of a capital asset results in a financial loss.
Are all types of capital gains taxable?
Yes, most capital gains are subject to taxation. However, certain exemptions and deductions may apply, depending on factors such as the type of asset and the holding period.
What is the difference between short-term and long-term capital gains?
The classification is based on the holding period. In certain cases, if the asset is held for one year or less before selling, it is considered a short-term capital gain or loss and if it is held for more than one year, it is classified as a long-term capital gain or loss.
Are there any exemptions available for capital gains?
Yes, exemptions such as the purchase of residential premises may apply to certain types of capital gains, especially on the sale of a primary residence. Additionally, exemptions are available for investments in specified bonds.
Can capital losses be used to offset capital gains?
Yes, capital losses can be used to offset capital gains. If the capital losses exceed the gains, the excess losses can sometimes be carried forward to offset future gains.
What is the significance of indexation in the context of capital gains?
Indexation is a method used to adjust the purchase price of an asset for inflation, reducing the taxable capital gains. This is especially relevant for long-term capital assets.
