Party A and Party B purchased a residential flat in July 2013 at 17.0 Lakh. Now, the same flat is sold for 25.0 Lakh in January 2021. Considering CII value of 220 in 2013-14 and 301 for 2020-21, the indexed Long Term Capital Gain for each Party is around 70,000. Since the gain is less than 1 Lakh for each, Will there be any Long Term Capital Gain Tax?
21 February 2021
Party A is a salaried employee having taxable income. While Party B is a senior citizen house wife (filing income tax but income is quite less than taxable income)
21 February 2021
Party A has to pay 20% tax on his portion of capital gains. Party B no tax payable if income below taxable limit after adding capital gains.