ITR filing for long term capital gain is one of the necessary parts of annual filing. ITR for long term capital gains can be filed by following certain steps. In case of filing itr for long term capital gain, form ITR-2 is filed if a taxpayer is an individual or HUF. Dive into this blog to understand, ‘how to file ITR for long term capital gain?’
Overview
Understanding Long-Term & Short-Term Capital Gains
What are the sources of Long-term Capital gains?
- Sale of Property
- Sale of Agricultural land
- Investment in Mutual Funds
- Investment in Stocks
Documents Required for Filing Capital Gain ITR Form
For Sale of Immovable Property
- Sale & Purchase deads, improvement cost details, purchase value & any cost of improvement, transfer expense showing the sale value
- Full Address of the Property
- Buyer details i.e. PAN and Aadhaar Card
- Essential supporting document in case you are claiming exemption under Section 54 or 54EC
For Sale of Mutual Funds or Equity shares
- Taxpayers are required to generate consolidated capital gain statements from CAMs and Kfintech.
- For Equity Shares sale, you can check with your broker for a capital gain statement or Tax P&L.
Step-wise Process of ITR filing for long term capital gain
ITR filing for long term capital gain is necessary for the taxpayers who make earnings from assets like properties, agricultural land, mutual funds, and stocks after holding them for at least more than a year. In the case of being an individual or HUF, the ITR-2 Form is filed for filing ITR for capital gain on property.
With the above-mentioned stepwise guide on ‘how to file ITR for long term capital gain’, you can file ITR for capital gain on property. However, taking experts’ guidance is always advisable to efficiently file this annual return.
FAQs
Q1: What is the due date to file ITR-2 for AY 2024-25?
Q2: How long does ITR 2 take in its processing?
Q3: What is ITR 2?
Q4: What documents are required for filing ITR 2 for capital gains?
- Bank Statements
- DSC or Digital Signature Certificate
- ITR of Previous Year
- Capital Gains/Loss Statement
- Balance Sheet
- Saving certificate
- Profit & Loss Statement
- Reports of Audits, if required