Tax on Sale Proceeds of House

Share This Thread
  1. Savitri

    Savitri New Member

    I have sold a duplex house for 68 lakhs in January 2015 which I had bought for 58 lakhs in August 2008. I would like to know whether I will need to pay income tax for it? How best Can I use the money? It is lying in my savings account. I am interested in investing the money for retirement plan with at least Rs. 1 lakh income per month. Please advise.
  2. Parul_Gupta

    Parul_Gupta Active Member

    As the property has been held by you for more than 3 years, therefore this would be classified as a long term capital asset and you can claim benefit of Indexation.

    Indexed Cost of Acquisition = 58 Lakhs * 1024/582 = 1.02 Crore
    Sale Price - 68 Lakhs

    As the Indexed Cost of Acquisition is more than the Sale Price, therefore No Tax would be levied in this case.
  3. Savitri

    Savitri New Member

    Thank you. I was also looking for an advise regarding best way to invest this money in a retirement plan which will give me at leat Rs. 1 lakh per month. I can sure add more to this money and enter the plan.
Draft saved Draft deleted
Similar Threads Forum Date
Can my father buy a property in my name from the sale proceeds of his house? Personal Finance Jun 22, 2015
+27715451704 ((100%)) Best suppliers of gold nuggets and Bars for sales interest.Our goal is to m Personal Finance Oct 6, 2018
Capital gain tax applicability for Sale of Land. Personal Finance Apr 6, 2018
What is the Capital Gain Tax Rate on sale of Property? Personal Finance Nov 25, 2014