Demand of proof - payment of repairs

[Rajagopal Ramachandran]

Respected Sir! Assessee spent Rs 85,000 for repairs in the year 1984 on a apartment bought in 1975 for Rs 45,000 after 10 years due to poor condition. The apartment was sold for Rs 50 lacs in the year 2005 For computation of capital gain tax the assessee took into consideration the repairs costs when calculating the capital gain. AO is demanding bills and invoices for money spent in the year 1985 - afte 20 years. Assessee is unable to produce such receipts since its more than 20 years. Partial payment is reflected in bank statement for the repair payment without any receipt of payment voucher. My question how can AO demand proof of payment to repairs on the flat after 20 years. Can anyone guess the situation. The assessee is senior citizen 92 years old now. ANy suggestion for the retired government officer who is 92 years now.Thanks

AI Summary

92-Year-Old Retiree Seeks Alternatives for Missing Repair Receipts in Capital Gains Tax Case, Cites Section 48 Solutions An individual inquired about the demand for proof of repair expenses from 1984 by the Assessing Officer (AO) for capital gains tax computation on a property sold in 2005. The property, purchased in 1975, underwent repairs costing Rs 85,000, but receipts are unavailable after 20 years. Suggestions include using Fair Market Value (FMV) from 1981 indexed with the Cost Inflation Index (CII), relying on historical balance sheets, declarations, photographs, municipal records, and self-declarations to establish the improvement and estimate costs. The individual is a 92-year-old retired government officer.