Capital gains and HUF returns

About Capital gains and HUF returns

Capital gains arise when you sell a capital asset such as land, a building, shares, mutual funds or gold for more than its cost. The tax rate and exemptions depend on the type of asset and how long you held it. The rules have changed in recent years, so we compute using the provisions that apply to the date of sale.

A Hindu Undivided Family (HUF) is a separate taxpayer with its own PAN. It can hold investments, earn income and file its own return, which can reduce the family's overall tax when managed properly. We help create the HUF documents, apply for the PAN and file the return.

Who needs it

• People who sold property, shares or mutual funds in the year
• Families that want to form or manage an HUF
• Taxpayers with gains who want to understand reinvestment exemptions
• Heirs who inherited assets and want to sell

Documents required

For capital gains

• Purchase and sale deeds of property, with stamp duty value
• Proof of cost of improvement and brokerage or transfer expenses
• Broker contract notes and a capital gains statement for shares
• Mutual fund account statements and capital gains statement
• Details of reinvestment in a house or specified bonds, if claiming exemption

For an HUF

• PAN and Aadhaar of the Karta
• Names, relationship and dates of birth of the members
• HUF declaration or deed
• Address proof and bank account details of the HUF
• Details of the assets and income of the HUF

How we do it

1. Gather the recordsYou share purchase, sale and expense documents.
2. Compute the gainsWe work out short term and long term gains, applying the correct rates and exemptions.
3. Plan and fileWe include gains in your return, pay any tax due and advise on reinvestment options where available.

Time it takes

Frequently asked questions

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