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?
Yuvaraj (SSE) (34 Points)
23 June 2020I 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?
David
(article Assistant)
(1600 Points)
Replied 23 June 2020
David
(article Assistant)
(1600 Points)
Replied 23 June 2020
Spurto Consultancy Services
(Consultant)
(1891 Points)
Replied 23 June 2020
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)
Yuvaraj
(SSE)
(34 Points)
Replied 23 June 2020
so I will have to pay 10L* (20/100) = 2L tax
is that correct?
David
(article Assistant)
(1600 Points)
Replied 23 June 2020
David
(article Assistant)
(1600 Points)
Replied 23 June 2020
Yuvaraj
(SSE)
(34 Points)
Replied 23 June 2020
Thank you for explaination...Now i understood...but how i can calculate cost inflation
David
(article Assistant)
(1600 Points)
Replied 23 June 2020