Question:
Mr. Kapoor purchased a residential house in January, 2021 for Rs. 80,00,000. He sold the house in April, 2022 for Rs. 94,00,000. In this case, the gain of Rs. 14,00,000 arising on account of sale of residential house will be charged to tax under which of the following head?
Mr. Kapoor purchased a residential house in January, 2021 for Rs. 80,00,000. He sold the house in April, 2022 for Rs. 94,00,000. In this case, the gain of Rs. 14,00,000 arising on account of sale of residential house will be charged to tax under which of the following head?
Show Hint
Gains from the sale of property are charged under the head 'Capital Gains'. If the property is held for more than 1 year, it's classified as long-term capital gain.
Updated On: Oct 30, 2025
- Income from capital gains
- Income from house property
- Income from profits and gains from business or profession
- Income from other sources
Hide Solution
Verified By Collegedunia
The Correct Option is A
Solution and Explanation
Step 1: Understanding the Question.
The gain arising from the sale of a residential property is classified as capital gains under the Income Tax Act. The period of holding determines whether it is short-term or long-term capital gain. Since Mr. Kapoor held the property for more than a year, this will be a long-term capital gain.
Step 2: Conclusion.
Thus, the correct answer is (A) Income from capital gains.
The gain arising from the sale of a residential property is classified as capital gains under the Income Tax Act. The period of holding determines whether it is short-term or long-term capital gain. Since Mr. Kapoor held the property for more than a year, this will be a long-term capital gain.
Step 2: Conclusion.
Thus, the correct answer is (A) Income from capital gains.
Was this answer helpful?
0
0
Top Questions on Income Tax Law and Accounts
- \(\textbf{Match List-I with List-II:}\)
\[\begin{array}{|l|l|} \hline \textbf{List-I} & \textbf{List-II} \\ \hline \text{(A) Deposit in Sukanya Samriddhi Account} & \text{(I) 80E} \\ \hline \text{(B) Interest on loan for higher education} & \text{(II) 80D} \\ \hline \text{(C) Preventive health checkup} & \text{(III) 80GG} \\ \hline \text{(D) Rent paid for accommodation} & \text{(IV) 80C} \\ \hline \end{array}\]
- CUET (PG) - 2025
- Commerce
- Income Tax Law and Accounts
Match List-I with List-II:
\[\begin{array}{|l|l|} \hline \textbf{List-I} & \textbf{List-II} \\ \hline \text{(A) Sale of jewelry} & \text{(I) Income from Salary} \\ \hline \text{(B) Pension from former employer} & \text{(II) Capital gain/loss} \\ \hline \text{(C) Salary received from a partnership firm} & \text{(III) Income from other sources} \\ \hline \text{(D) Income from sub-letting of property} & \text{(IV) Profits and gains from business or profession} \\ \hline \end{array}\]
- CUET (PG) - 2025
- Commerce
- Income Tax Law and Accounts
- Which of the following statements is incorrect?
- CUET (PG) - 2025
- Commerce
- Income Tax Law and Accounts
- Which of the following statements are true? (A) Agricultural income earned in India is exempted from tax
(B) Scheme of partial integration is available for individual, HUF, AOP, BOI or artificial judicial person
(C) For partial integration, net agricultural income of the individual assessee during the previous year should not exceed Rs. 5000
(D) For partial integration, non-agricultural taxable income should exceed the exemption limit- CUET (PG) - 2025
- Commerce
- Income Tax Law and Accounts
Match List-I with List-II:
- CUET (PG) - 2025
- Commerce
- Income Tax Law and Accounts
View More Questions
Questions Asked in AIBE exam
- Which section of BNSS facilitates trials and proceedings to be held in electronic mode?
- AIBE - 2024
- Criminal Law
- A new offense of 'Snatching' has been introduced by the BNS. Which section of the BNS defines 'Snatching' as an offense?
- AIBE - 2024
- Criminal Law
- Amit, intending to cause the death of Vijay, attacks him with a knife. Vijay sustains severe injuries and dies on the spot. The investigation reveals that Amit acted with the knowledge that his actions were likely to cause death. However, there is no evidence of premeditation or intent to murder Vijay.
Which of the following offenses has Amit committed?- AIBE - 2024
- Criminal Law
- As per Section 78(2) of the BSA 2023, presumption about the officer signing or certifying a document is?
- AIBE - 2024
- Law of Evidence
- Which word is inserted in Section 22 of the BSA that was not present in Section 24 of the Evidence Act?
- AIBE - 2024
- Law of Evidence
View More Questions