If you show the purchase amount in your books of accounts, the profit on sale of gold made after 36 months shall be treated as Long-term Capital gain, and in case of loss it shall be Long-term Capital loss. The aforesaid treatment is as per the existing provisions of the Income Tax Act.
If you treat the purchase as a traded item and show it as stock in trade, the profit/loss on sale or purchase shall be treated as ‘Business Income’ and the same shall be put to tax at the rate applicable.
Do I have to pay any tax on the income from the sale of gold? Print
Created by: Deepak Abbot
Modified on: Wed, 8 Apr, 2020 at 1:52 PM
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