Capital gain

sunil rajpal (Querist) 26 December 2011 This query is : Resolved
A non-resident indian lives in canada for the last 40 years and owns a house in canada and also owns a house in india, now wants to sell house in india.i want to know about the tax liability as far as capital gain is concerned.
This person is staying in india for the last 30 months.

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A V Vishal (Expert) 26 December 2011
India has DTAA’s with several countries which give a favorable tax treatment in respect of certain heads of income. However, in case of sale of immovable property, the DTAA with most countries provide that the capital gains will be taxed in the country where the immovable property is situated. Hence, the non-resident will be subject to tax in India on the capital gains which arise on the sale of immovable property in India. Long-term and short-term capital gains are taxable in the hands of non-residents at the rate of 20.6% or 30.9% as the case may be.

prabhakar singh (Expert) 26 December 2011
The house in india,if sold,shall attract capital gain tax which would be payable by non-residents at the rate of 20.6% or 30.9% depending long or short term.