I have taken 1000 sq ft plot at rupee 10L by taking loan of 7L for 10 years. After loan period end, if i sell it at rupee 20L, then will i have to pay tax on that whole amount? If yes, how much tax will i have to pay?
I have taken 1000 sq ft plot at rupee 10L by taking loan of 7L for 10 years. After loan period end, if i sell it at rupee 20L, then will i have to pay tax on that whole amount? If yes, how much tax will i have to pay?
What si mean by indexation? how it is calculated?
Capital Gain will arise on the sale of plot:
Sale Consideration: Rs. 20 Lacs
Cost of acquisition: Rs. 10 Lacs
Indexed Cost of acquisition is to be taken: 10 Lacs*(CIF of year of sale/CIF of year of purchase)
so I will have to pay 10L* (20/100) = 2L tax
is that correct?
year of purchase 2010. year of sale 2020
Thank you for explaination...Now i understood...but how i can calculate cost inflation
Naveen Fintech Pvt Ltd
Kolkata
CA Inter
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