Capital Gains
For agricultural land in Kendrapara, a Capital Gains Tax Valuation hinges on establishing the fair market value as on the date of transfer, a figure that also serves as the reference point for computing the indexed cost of acquisition. Under Section 55A of the Income Tax Act, the Assessing Officer is empowered to refer the valuation to a statutory valuer when the declared consideration appears understated relative to the prevailing market rates. In Kendrapara, where transactions often involve local crops and the Record of Rights (RoR) remains the primary evidence of title and land classification, a meticulous analysis of the RoR entries, including soil classification and revenue records, becomes central to the valuation process. The appointed valuer must consider the land's agricultural potential, proximity to local mandis, and documented sale instances of comparable parcels. A comprehensive report substantiating the fair market value helps taxpayers defend their computation and avoid protracted litigation. Report by RV Yashkumar Jasani — Government Approved Registered Valuer.
Consult via WhatsApp →