Section 112(1) Long Term Capital Gain

[CABALRAM PANDEY]

Dear All,

 

Please advice me, if an individual assessee had only LTCG and no other income, then can he avail the benefit of MPEL (Maximum Permissible Exemption Limit).

 

Thanks & Regards

CA Balram Pandey 

[JaysonJacob Mathew]

You can avail the benefit of Basic exemption from tax .

You will face problem at the time of filing ITR return. Which will show tax liability on Basic exemption limit.

You have to make a representation before the A.O, once you receive a demand notice

[CAGOPALJI AGRAWAL]

But we are not facing any such problem. 

[JaysonJacob Mathew]

For Ay 2011-12, one of my client had the issue of not getting basic exemption benefit after cpc processing , demand notice came, where I got it corrected thru representation before A.O.

[CABALRAM PANDEY]

Thanks for enlarging my knowledge, Hoping your kind advises and support in future too. 

AI Summary

Clarification on MPEL for LTCG with No Other Income: Represent Before Assessing Officer to Resolve ITR Filing Issues. An individual inquired about the applicability of the Maximum Permissible Exemption Limit (MPEL) for Long Term Capital Gains (LTCG) when there is no other income. The responses indicated that while basic tax exemption can be claimed, issues may arise during the Income Tax Return (ITR) filing process, potentially leading to a demand notice. It was suggested to address this by representing before the Assessing Officer (A.O.). One respondent shared a similar past experience where the issue was resolved through representation. The discussion concluded with appreciation for the shared insights.