capital gain tax on inherited property

Get Valuation certificate of the property as on 1st April, 2001 from Govt. Approved Valuer.

Based on the value as cost of aquisition as on FY 2001-02, capital gains can be arrived.

The applicability of 8kms clause is only for Agricultural Land. As the property sold is House same, 8kms clause is not applicable.

Sale consideration= Sale Price/Stamp Duty value whichever is higher
Cost of Acquisition= Sum of the following:-
1) Land = FMV as on 01/04/2001with indexation
2) Construction of House = Indexed cost by taking FMV as on 01/04/2001
3) Construction of additional floor= Indexed cost (indexation from 1997)

Whole of cost can be apportioned between the sons in the ratio of property inherited

Sale- Cost = Capital Gain * 20% will be Capital Gains tax

thanks a lot mr. dhirajlal and mr. Pranay for your prompt response. I am impressed with my first experience with this app. appreciate your response.