As per Section 55 of the Income Tax Act,
cost of any improvement in any other case, means all expenditure of a capital nature incurred in making any additions or alterations to the capital asset by the assessee after it became his property
In respect of LTCG on sale of flat, I have the following queries:
- What exactly does capital expenditure mean ? Please provide some examples.
- Would expenditure on furniture & fixtures be part of “capital expenditure” ?
- Since the cost was incurred many years ago, will approximate figures do for such expenditure incurred ?. Or does one need to have bills to claim such improvement cost incase the ITD raises any query in the future ?