Ms. Padmaja, aged 42, a resident individual, sold her residential house for ₹ 55 lakh to Robert on 1st July, 2017. The value of land for stamp duty purposes was ₹ 65 lakh. The land was acquired on 30th April, 1970 for ₹1

Computation of Total Income of Ms. Padmaja for the Assessment Year 2018-19 Particulars Amounts (₹) Amounts (₹) Income from House Property Rental Income (₹30000*3 month) 90,000 Less: Deduction u/s 24 @ 30% (27,000) Income from House Property 63,000 Capital Gains Sale Consideration 55,00,000 Value of land for stamp duty purposes 65,00,000 Higher of the two adopted as deemed sale consideration 65,00,000 Less: Brokerage @ 2% of ₹55,00,000 (Brokerage is deductible even though tax was not deducted at source) (1,10,000) Net Sale Consideration 63,90,000 Less: Indexed cost of acquisition FMV as on 01.04.2001 (₹10,00,000 * 272/100) (27,20,000) Long Term Capital Gains 36,70,000 Less: Exemption under section 54 (25,00,000) Less: Exemption u/s 54EC (i) Subscribing to the capital gains bonds issued by REC is eligible investments as investments was made within 6 months after the date of transfer of capital assets. (9,50,000) (ii) Subscribing to the capital gains bonds issued by NHAI is not eligible investments as investments was made beyond 6 months after the date of transfer of capital assets. - Long Term Capital Gains 2,20,000 Gross Total Income 2,83,000 Less: Deduction u/s 80D with respect to health insurance premium (20,000) Total Income 2,63,000