Capital gain query

Since there is no will according to the Law of Inheritence both of you will have equal share in the property. When your sister signed the relinqusiment deed she transferred the property to your name as per section 2(47) of Income Tax Act and capital gain is chargable on transfer of every capital asset. If the relinquisment deed is in the nature of Gift then transfer of your sister's share in the property to you is exempt under section 47. But the whole consideration is taxble under your hands. If you want to save tax, you have to treat 33 lakhs paid to your sister as loan, otherwise it may be taxable under section 64. You can use benefit of section 54 where you can buy another residential property and claim the cost as exemption or you can buy NHAI or REC capital gain bonds and claim exemption under section 54EC

If the intention of purchasing land was for carrying on real estate business i.e re-sale then it will be revenue loss, otherwise it will be capital loss