My apologies if a repeat question, I have missed a lot on tax. wanted to ask if I buy a plot today 50 lac, construct house in 1 year, sell after construction 2nd year. what will be the formula of tax please. apologies again if already explained.
Asif Sardar replied on Sunday, July 31, 2016 10:37 AM
10% CGT (on gain or profit amount) if you sell within one year of purchase.
7.5% CGT if you sell within 1-2 years of purchase.
5% CGT if you sell within 2 - 3 years of purchase.
0% after 3 years.
As per my understanding the tax is on total gain value on land.
M not sure if the tax is applicable on Construction and profit on construction. |
humayun replied on Sunday, July 31, 2016 12:05 PM
After construction income tax will be applicable as per my understanding. |
