​Is there any exemption relating to interest on capital gains account?| Whether interest received on amount deposited in capital gain account under capital gain account scheme is taxable ?| Under which head interest earned on capital gain account is taxab

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NIRAJ ASHOK DAVE 4 months 1 Answer 73 views 0

Answer ( 1 )

  1. ​• Capital Gains Account Scheme is a scheme to facilitate the taxpayer.
    • If taxpayer could not invest the capital gains

    – to acquire new asset

    – before due date of furnishing of return of income

    – then the capital gains amount can be deposited

    – before due date for furnishing of return of income

    – in a special bank account

    – maintained in any branch of a nationalized bank

    • Interest earned on Capital Gains Account is chargeable to tax under the head “Income from Other Sources”

    • Interest earned on Capital Gain Account is charged to tax in the year it accrues and is credited to the capital gain account of the assessee.

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