capital gain

[alok srivastava]

assessee claiming no capital gain is to be levid unless tital of the flate did not transfer, whereas the assessee has purchase the flate and then sell the flate without registration,without paying stamp duty .

[DR.MARIAPPAN GOVINDARAJAN]

Your query is not clear. The facts may be given in a clear version.

[K.S.AIYAR & CO.]

Capital gain is chargeable on "transfer" of a "Capital Asset". Under section 2(47) (ii) of the Income Tax Act, 1961 extinguishment of any right in a capital asset amounts to Transfer of the capital asset. Flat is a property of any kind and hence a capital asset and even if you transfer the right to own a flat (before it is registered in your name) capital gains is chargeable on such transfer.

AI Summary

Capital gains taxation applies where extinguishment of rights in property amounts to transfer, even without registration or stamp duty.
Extinguishment of any right in a capital asset constitutes transfer for capital gains purposes; a flat is a capital asset, so disposal of the right to own the flat can amount to a transfer attracting capital gains tax even if registration or stamp duty formalities are not completed.