Ltcg tax on inherited propery

since it is an inherited property, the Period of holding will be taken from the inital date of purchase being 1987 of Rs. 110k,

part 1
grandfather ---> grandmom--->Brothers

your dad assuming gets 50 % share, will 50% of 110k as hist Cost of acquisition, this can be indexed further from 1987 to 2011 by relying on the case law of  Manjula J. Shah v/s. The Commissioner of Income Tax-12, INCOME TAX APPEAL NO.3378 OF 2010

the capital gain would approximately be
Sale consideration -1400000

-Coa                              616785

(110k*785/140)

LTCG                            783214

this LTCG will be split in 2. approx 391607

part 2
your father will have to claim exemption u/s. 54, he has to invest only the amount of LTCG,
he can give you loan...but you then he'll have to forego his exemption.

feel free to ask for  any clarification.