Name: Mohua Tanjin Payel

ID: 18241075

Section: A

​Lecture: 23
● Computation of Capital Gains:

The income under the head capital gains shall be computed after making the following
deduction from the full value of the consideration received or according from the transfer
of the capital asset or the fair market value thereof, whichever is higher, namely:

✔ Any expenditure incurred solely in connection with the transfer of the capital
asset (e.g. advertisement, brokerage, stamp duty, registration fees, legal expenses
etc.
✔ The cost of acquisition of the capital asset and any capital expenditure incurred
for any improvements thereto but excluding any expenditure in respect of which
any allowance is admissible under any provisions of sections 23 (deductions from
interest on securities), 29 (deductions from income from business or profession)
and 34 (deductions from income from other sources).

● Tax Exempted Capital Gains:

Capital Gains are exempted from taxes in following cases:

✔ Capital gain arising from the transfer of capital asset used for the purpose of
business [Sec 32(5)]: If the capital gains, arising out of transfer of capital assets
used In the business or profession, is used fully or In part to purchase a new
capital asset with. a period of one year before or after the date of transfer and if
the assessed elects in writing before the assessment for nailing over.

✔ Capital gain arising from the transfer of Government Securities [Sec 32(7)]: if
capital gain arises from transfer of capital assets being government securities in
Bangladesh; [Sec 32(7)]

✔ Capital gain arising from transfer of capital being buildings or lands to a new
Company [Sec 32(10)]. If capital gain arises from the transfer of capital assets
 being buildings or lands to a new company for setting up of an industry, and if the
whole amount of capital gain is invested in the equity of the said company;

✔ Capital gain of a firm arising from transfer of its capital user to a new company
[Sec 32(11)]: If pita' gain arises from the transfer of capital assets 4 a firm to a
new company and if the whole amount of capital gain is invested in the equity of
the sold company by the partners of the said firm.

✔ Capital gain arising from the transfer of securities approved by Sec and traded in
stock exchanges in some specific cases [SRO 217/L/IT/2014 dated 18/08/2014]:
If capital gain arises from the transfer of securities approved by SEC and traded in
stock exchanges (e.g. shares, stocks, mutual fund units bond, debenture.