LTCG on Property sale whose indexed purchase value is more than realized sale

This discussion addresses a common query regarding Long Term Capital Gains (LTCG) tax on property sales. The user purchased a property for Rs. 22 lakh and spent Rs. 6 lakh on improvements, later selling it for Rs. 57 lakh. After applying indexation, the calculated indexed cost of the property and improvements exceeds the sale price, resulting in a notional loss. The consensus is that no LTCG tax is payable in such scenarios, as the loss can be carried forward and set off against future income, provided the Income Tax Return is filed on time.