We have purchased a property in 1991 for Rs. 29000/- and the same is registered in a individual tax payer name having 3 other properties on her name, and sold the same in the month of March 2018 for Rs. 2000000/-, i would like to know what will be our tax implication, how much do we need to pay tax on it, if we invest this entire amount in a new property within a period of time limit will we get an benefit, if so how time period do we need to invest that money.
28 April 2018
you need to get the property valued as at 1 April 2001 and then apply indexation to the value so determined. The difference between sale value and the indexed value will be your capital gains. You can claim various deductions like Section 54, 54EC etc
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