Profit or Capital Gain ?

sapumal wrote:1.6.5 Removal of certain exemptions
Following exemptions will be removed with effect from 1 April 2017 -
(i) Dividends to be identified;
(ii) Interest income to be identified;
(iii) Profits from investment on listed securities and other instruments;
(iv) Exemption up to LKR5,000 per month on interest on savings accounts;
(v) Exemption on interest on deposits made by the senior citizens will be limited to
LKR1.5Mn per annum.

Profit vs Gain
So people know the exact definition collect/dispose the shares.
We wait to hear the definition until they finished

sapumal wrote:https://www.pwc.com/lk/en/budget2017.html

sapumal wrote:1.6.5 Removal of certain exemptions
Following exemptions will be removed with effect from 1 April 2017 -

(iii) Profits from investment on listed securities and other instruments;

Profit vs Gain
So people know the exact definition collect/dispose the shares.
We wait to hear the definition until they finished

Chinwi wrote:

sapumal wrote:1.6.5 Removal of certain exemptions
Following exemptions will be removed with effect from 1 April 2017 -

(iii) Profits from investment on listed securities and other instruments;

Profit vs Gain
So people know the exact definition collect/dispose the shares.
We wait to hear the definition until they finished

Thank you Sapumal for highlighting this.

Listed securities kiyanne/means Shares .  Other instruments  ??  they can add anything they wanted   .

Profits from investment on listed securities =  Profit we get from buying and selling shares !

No capital gain tax but you have to pay income tax !

මේක හරියට හොයා ගන්න .


I will write after consulting

Chinwi wrote:

sapumal wrote:1.6.5 Removal of certain exemptions
Following exemptions will be removed with effect from 1 April 2017 -

(iii) Profits from investment on listed securities and other instruments;

Profit vs Gain
So people know the exact definition collect/dispose the shares.
We wait to hear the definition until they finished

Thank you Sapumal for highlighting this.

Listed securities kiyanne/means Shares .  Other instruments  ??  they can add anything they wanted   .

Profits from investment on listed securities =  Profit we get from buying and selling shares !

No capital gain tax but you have to pay income tax !

මේක හරියට හොයා ගන්න .


I will write after consulting

EquityChamp wrote:Ministry of Finance has introduce three telephone numbers to get clarity on budget proposals. You can directly dial and ask the questions. Numbers are as below.

0710242314
0710242310
0710242311

You can call now itself.

Thanks

samaritan wrote:

EquityChamp wrote:Ministry of Finance has introduce three telephone numbers to get clarity on budget proposals. You can directly dial and ask the questions. Numbers are as below.

0710242314
0710242310
0710242311

You can call now itself.

Thanks

Thanks EC, I called 0710242314 and was told that the CGT is applicable only for immovable property and not for share transactions.

EquityChamp wrote:This has to be cleared with them. Whether listed securities includes stocks. And the definitions for Capital Gain and profit from listed securities.

Why don't you call one of the above numbers.

Thanks

worthiness wrote:Many will indicate the low selling price in the sale contract or deed intentionally to pay less CGT in the future. In that case, there must be a system of independent valuation of the property subject to sale where some malpractices arise. Strict rules are required to monitor the CGT system without loopholes.