WebThe inflation adjusted cost and LTCG on it will be calculated as follows: Answer: Inflation adjusted cost or indexed Cost of Acquisition (ICOA): (289/200) X Rs 20 lakhs = Rs 28,90,000. Long term Capital Gain (LTCG) on Land will be= Rs 50,00,000 – Rs 28,90,000 = Rs 21,10,000. Read Also: Income tax on shares and securities in India. WebPrimarily land is a capital asset as defined u/s 2(14) of the Income Tax Act, 1961 but if the land is an agricultural land the scenario is different. if agricultural land is situated in the …
How to save Capital Gains Tax on Sale of Land - ClearTax
WebA separate study by Iowa State University suggests that if stepped-up basis were eliminated, a full-time farmer who owns just 358 acres of farmland would see his or her tax liability from a lifetime sale increase from $475,248 to $860,572, or a staggering 81% increase. Additional analysis by EY shows that repealing the stepped-up basis would ... WebI sale agriculture land witch 12 kilometres from my City my town population is 90000 as per law capital gains is tax free. bks purchase land 10 year ago.sir please advise me witch page.colum of ITR witch I show capital gain with my other taxable income Thanks. Reply. camhs elysium
How to Save Tax on Sale of Agricultural Land? - rerafiling.com
WebMay 21, 2024 · Your profit on your land will be taxed at the federal capital gains rate, which is 15 percent or 20 percent for assets held over one year, depending on your income. You could also be subject to a 3.8 percent surcharge tax for Medicare as well as 25 percent depreciation recapture tax on any depreciated land improvements. WebA5: The capital gain on agricultural land is calculated by subtracting the Acquisition and Improvement Costs from the Sale Price. The resultant amount is then subjected to capital … WebPrimarily land is a capital asset as defined u/s 2(14) of the Income Tax Act, 1961 but if the land is an agricultural land the scenario is different. if agricultural land is situated in the Urban area, then it is a capital asset and gains from its … camhs enfield referral