Hi,
I inherited a commercial property 3 yrs ago. I want to sell it now.
I want to know.
1. How would the LTCG tax be computed for commercial property?
2. What can be done to minimize the LTCG as much as possible.
Dear Jay, The original date of construction of this inherited property `ll be considered for calculation of LTCG, no matter u inherited it 3Ys or even b4.
1 more thing, if the property was built/purchased b4 the introduction of CII (Cost Inflation Index) i.e 1st April 1981, u `ll have to arrange a valuation certificate of ur property from a govt. approved valuer showing the value of the property on 1st April 1981.
After getting the value of ur property u can calculate the actual LTCG of ur property by using the CII.
To minimise ur Tax outgo on LTCG u may purchase 1 residential house & may invest a max. of 50L in the current FY (2009-2010) in Cap. Gain Tax saving bond.
For detailed clarification u may write a personal mail to me at following mail-id.
If I get say 30L from sale of property. If i invest 20L in purchase of another property and 10L in the Captial Gain Tax saving bond, then will my LTCG be 0?
| NIFTY 
