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Sale of property - need clarification on long term capital gains

Tax planning 357 views 2 replies

hari babu

Business

26 Points Joined January 2010

Hi I Purchased Residential Land in Vijayawada in the year 2011 for 2,47000 Rs . Now in the Year 2019 i sold this Property for 11,06,000 Rs.

So How much Capital Gain Tax i need to Pay . What are the Deductions i can Claim before paying my income Tax.

Can any one respond fast as today is last day for filing income tax.

Any fast response will be appreciated . Thank you in Advance

Replies (2)

The sale of property is governed under section 50C of income tax act and rate notified for tax purposes in defined in 112 of the act.

You need to calculate LTCG u/s 112 by index the COA

and no deduction is allowed for LTCG .

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Kapadia Pravin

17264 Points Joined December 2018

File ITR2
Under CG schedule Go to LTCG
a. Sale consideration will be 1106000/-
b. cost will be 247000/-
c. Indexed value of cost = 247000× index factor
d. Gain will be a-c which is taxable