{"id":18231,"date":"2021-05-15T17:24:14","date_gmt":"2021-05-15T11:54:14","guid":{"rendered":"https:\/\/itatonline.org\/digest\/?post_type=qa&#038;p=18231"},"modified":"2021-05-21T09:59:30","modified_gmt":"2021-05-21T04:29:30","slug":"capital-gain-on-sale-of-non-banking-asset-sold-by-a-bank","status":"publish","type":"qa","link":"https:\/\/itatonline.org\/digest\/qa\/capital-gain-on-sale-of-non-banking-asset-sold-by-a-bank\/","title":{"rendered":"How to compute  Capital gain on sale of non-banking asset sold by a Bank ?"},"content":{"rendered":"<p>URBAN COOP BANKS SOME TIMES ACQUIRE THE ASSETS (LAND\/BUILDING) MORTGAGED TO THEM BY THE BORROWERS IN SATISFACTION OF THE LOAN OUTSTANDING.<\/p>\n<p>AFTER FOLLOWING DUE PROCESS OF PROCEDURE UNDER THE MAHARASHTRA COOP SOCIETIES ACT,1961 UNDER RULE 107, THE MORTGAGED ASSET IS TRANSFERRED IN THE BANKS NAME AT A VALUE AS PER THE VALUATION OF  APPROVED BY THE REGISTRAR OF COOP SOCIETIES ,MAHARASHTRA STATE.<\/p>\n<p>IN THE PROCESS THE PROPERTY STANDS IN THE NAME OF THE BANK AND IS SHOWN AS NON-BANKING ASSET.RESERVE BANK ALSO ALLOWS SUCH NON-BANKING ASSET ON THE CONDITION THAT IT SHOULD BE DISPOSED WITH IN 7 YRS.<\/p>\n<p>TO GIVE A SPECIFIC CASE= A BORROWER HAS OUTSTANDING LOAN OF RS.200 LAKHS WITH INTEREST),THE VALUE OF ASSET ACQUIRED IS RS.250 LAKHS. BUT IN THE BOOKS OF BANKS IT WILL BE SHOWN AS RS.250 LAKHS,THAT IS THE AMOUNT OUTSTANDING IN THE LOAN A\/C.<br \/>\nNOW THE PROPERTY IN QUESTION IS SOLD IN AUCTION FOR RS.250 LAKHS,THE BANK IS SUPPOSED TO RETURN THE GAIN OF RS.50 L TO BORROWER.THE QUESTION IS WHO IS TO BEAR THE CAPITAL GAIN TAX?<\/p>\n","protected":false},"comment_status":"open","ping_status":"closed","template":"","qa_expert":[37],"qa_category":[23],"qa_tag":[24,163],"class_list":["post-18231","qa","type-qa","status-publish","hentry","qa_expert-advocate-aditya-ajgonkar","qa_category-income-tax","qa_tag-capital-gains","qa_tag-mortgaged-property"],"acf":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa\/18231","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/qa"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=18231"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=18231"}],"wp:term":[{"taxonomy":"qa_expert","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_expert?post=18231"},{"taxonomy":"qa_category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_category?post=18231"},{"taxonomy":"qa_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_tag?post=18231"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}