Withdrawl from Capital Gains Account for Household Expenses

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  1. Kannan

    Kannan New Member

    Sir I want to withdraw from capital gain account (part amount) for my domestic expenses. I am ready to pay Tax for the withdrawal amount. Please let me know is it allowed If so how much I have to pay IT and what is the procedure.

    Regards
     
  2. sai tejesh(ca.final)

    sai tejesh(ca.final) Active Member

    If the amount remains in capital gain account is exactly equal to the capital gain which arised on earliar..
    Then whatever the amount which you have received from that account is taxable under under the head LTCG (or) STCG as the case may be,which depends on the nature of your capital gain arised.
    for this you have to pay tax amount and have to file ITR in a prescribed format.
     
  3. Manoj Mehra

    Manoj Mehra Active Member

    1. Yes, you can withdraw from Capital Gains Account for Household Expenses.
    2. You would be required to pay capital gains tax @ 20% for the amount of capital gains which has not been reinvested.
     
  4. sai tejesh(ca.final)

    sai tejesh(ca.final) Active Member

    If you had claimed exemption u/s 54B or 54D,then there may be short term capital gain or long term capital gain.
    If it is STCG:amount withdrawn from capital gain account is taxable as per slab rates.Else.
    If it is LTCG:taxable @20%.
    In case you claimed exemption under any section other than sec 54B or 54D,then
    it should be taxable under the head LTCG,and taxable @20%.
     
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