Long term capital gains tax query

Hi, I had bought a piece of Land/Plot in Dec-2000 which I intend to sell in FY 2011-12 What is the tax rate on long term capital gains with and without indexation I understand that after April 2012 (when DTC comes in force) capital gains would be added to income (after deducting the indexing cost) which would mean 30% for my case where as this year it would be 20% with indexation What would constitute the cost. The price of land alone or the cost incurred in registration/name transfer can be added to cost before applying indexation. Any pointers will be greatly appreciated. Regards, Sunil

asked Apr 25 '11 at 23:53 by sunil_khan 1111


Income tax on long term capital gains is 20% with indexation computation.

After Direct tax code (DTC) comes into play, this gain will be added to income and will be taxed as per the slab rates (Max 30%).

Cost incurred in registration can be included in cost price before applying indexation.

answered Apr 26 '11 at 07:25 by Pankaj Batra 5.2k320

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Asked: Apr 25 '11 at 23:53

Seen: 2,021 times

Last updated: Apr 26 '11 at 07:25