long term capital gain

my dad sold our old property which was in his name in year 2011 for ten lacs. my dad is retired sr. citizen. kindly let me know, does this dealing will attract long term capital gain.the house was 15 years old.

asked Mar 02 '12 at 12:42 by nikhil 1111


Income tax would be payable on such long term capital gains.

See below computation for gains and income tax:

Purchase Year = A, Purchase Cost = P, Cost Inflation Index (CII) for purchase year = X
Sale Year = B, Selling price = Q, CII for sale year = Y
Indexed Purchase price = P x (Y/X) = R
Long term capital gain = Q - R = S
Income tax on capital gain = S x 20%

answered Mar 02 '12 at 22:42 by pankaj 5.2k320

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Asked: Mar 02 '12 at 12:42

Seen: 1,439 times

Last updated: Mar 02 '12 at 22:42