Will i be exempt from Capital Gains Tax ??

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  1. Sunny123

    Sunny123 New Member

    I purchased a Flat in Bangalore for 2380000(23.8L) in 2006 and i will be selling the
    same for 30L. My Income tax bracket is 30% (above 10L). Please confirm if i will have
    to pay any Capital gains tax ??
  2. Shishir Nayak

    Shishir Nayak Member

    yes you have to pay tax on capital gain. But if you want you can avail exemption u/s 54 and 54EC
  3. Sunny123

    Sunny123 New Member

    Hi Shishir,

    Thanks for your reply. Can you please tell me how much tax i will have to pay ?
    I already bought another flat about 2 years back. So i will not be investing the proceeds into another property.
  4. Parul_Gupta

    Parul_Gupta Active Member

    Cost Inflation Index for year of Sale i.e. 2014-15 : 1024
    Cost Inflation Index for year of Purchase i.e. 2006-07 : 519

    Indexed Cost of Acquisition = 23.6 Lakhs * 1024/519 = 46.56 Lakhs
    Sale Proceeds = 30 Lakhs
    Capital Gains = 30 Lakhs - 46.56 Lakhs = 16.56 Lakhs (Loss)

    As their is a loss arising on sale, No Capital Gains Tax would be levied in this case.
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