Capital Gains Arising Out Of Sale Of Long-Term Capital Assets Shall Be Taxable At Rate Of 20% U/S 112 Of IT Act: Mumbai ITAT Special Bench

The Mumbai ITAT Special Bench ruled that capital gains arising from the sale of long-term capital assets are taxable at a rate of 20% under Section 112 of the Income Tax Act. The case involved the sale of long-term capital assets, with the assessee arguing for a lower tax rate. The Tribunal clarified that Section 112 prescribes a 20% tax rate for long-term capital gains, regardless of the nature of the asset. The ruling provided clarity on the applicable tax rate for long-term capital gains, ensuring uniformity in tax treatment. The decision reinforced the statutory provisions governing the taxation of long-term capital gains.