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Capital gain tax

Tax queries 306 views 1 replies

Ajmer Singh

13 Points Joined October 2015

I purchased a house in April 2010 in 33 Lakh (including registry charges,and broker fee) rupees and sold the same in August 2015 in rupees 60 Lakh. Also I had spent 5 lakh rupees in the renovation of house in year 2014. renovation include painting, wooden work and some extension in building. kindly tell me tell me

i) how much tax i need to pay in terms of Capital gains?

ii) what certificate i need to produce to claim renovation costs deducted from profits.

iii) can i purchase a residential plot to avoid capital gain tax?

iv) if i have to purchase a house again, how much is time allowed to me ? and can i invest this fund in fixed deposits till that time?

Thank you.

Replies (1)

Vishal Thakur

Job

48 Points Joined January 2011

Your capital gain will be computed as follows:

Sale Consideration 60

Indexed Cots of

Acq. (33*1081/711) 50.17

Indexed Cost of

Imprvmnt (5*1081/1024) 5.28

LTCG 4.55

Tax 0.94

2) Bills for rennovation expenses are sufficient I think.

3 & 4) Yes you can purchase one another residential houe to save capital gain tax within 2 years from the date of sale. If you don't want to purchase house now then you can keep the money in Capital Gain Account and it is generally opened with Government Banks...

For further queries you can contact me at vishal.thakurca91 @ gmail.com