Long Term Capital Gains Tax

The Lok Sabha on Wednesday passed the Finance Bill 2024 after the government relaxed the just-introduced new capital gains tax on real estate.

The government's decision to allow taxpayers to pick between two long-term property transactions has brought cheers to the real estate industry, with experts saying that this move will have a very profound impact on both homeowners and homebuyers.

Nirmala Sitharaman today said the contentious LTCG tax proposal on real estate is being amended to give option to taxpayers to compute tax liability under the old system or at reduced rates without indexation, and pay the lower of the two.

The government on Tuesday proposed a relief to taxpayers with respect to capital gain tax on real estate properties by giving them the option to choose between 20 per cent and 12.5 per cent tax rates.

The cost of acquisition of real estate properties purchased before 2001 will be the fair market value (FMV, not exceeding the stamp duty value) as of April 1, 2001, or the actual cost of the land or building for the purpose of calculation of LTCG.

One of the benefits of simplification of any tax structure is that it removes differential rates for various classes of assets, Finance Ministry sources said, responding to feedback from the public on the changes in LTCG tax.

US President Joe Biden has outrightly denied even mulling over the proposal for the US to reconsider the tax it has levied on crypto activities. The US levies 10 percent to 37 percent tax on short-term capital gains and crypto income whereas long term capital gains are taxed between zero percent to 20 percent.

The share buyback, or share repurchase is a process where a company buys back its own shares from investors or stakeholders

Bitcoin and other cryptocurrencies suffered hefty losses on concern that US President Joe Biden's plan to raise capital gains taxes will curb investment in digital assets.

Capital gains are classified into long-term capital gains and short-term capital gains, depending on whether the assets were held for the long term or within a shorter span.

Bharatiya Janata Party has recommended adjusting rules on taxing equity market returns in the upcoming budget on February 1.

Budget 2020: Currently the duration of LTCG tax for equity is at one year, two years for property and three years for gold.

If property is sold within 24 months, one has to pay a short term capital gains tax (STCG) on the gains as per an individual's income-tax slab.

Long-Term Capital Gains Tax: This tax is applicable on profits arising from sale of applicable assets held for more than one year from the date of purchase.

Finance Ministry also decided to withdraw enhanced surcharge on short and long term capital gains arising from transfer of equity shares.

The Lok Sabha on Wednesday passed the Finance Bill 2024 after the government relaxed the just-introduced new capital gains tax on real estate.

The government's decision to allow taxpayers to pick between two long-term property transactions has brought cheers to the real estate industry, with experts saying that this move will have a very profound impact on both homeowners and homebuyers.

Nirmala Sitharaman today said the contentious LTCG tax proposal on real estate is being amended to give option to taxpayers to compute tax liability under the old system or at reduced rates without indexation, and pay the lower of the two.

The government on Tuesday proposed a relief to taxpayers with respect to capital gain tax on real estate properties by giving them the option to choose between 20 per cent and 12.5 per cent tax rates.

The cost of acquisition of real estate properties purchased before 2001 will be the fair market value (FMV, not exceeding the stamp duty value) as of April 1, 2001, or the actual cost of the land or building for the purpose of calculation of LTCG.

One of the benefits of simplification of any tax structure is that it removes differential rates for various classes of assets, Finance Ministry sources said, responding to feedback from the public on the changes in LTCG tax.

US President Joe Biden has outrightly denied even mulling over the proposal for the US to reconsider the tax it has levied on crypto activities. The US levies 10 percent to 37 percent tax on short-term capital gains and crypto income whereas long term capital gains are taxed between zero percent to 20 percent.

The share buyback, or share repurchase is a process where a company buys back its own shares from investors or stakeholders

Bitcoin and other cryptocurrencies suffered hefty losses on concern that US President Joe Biden's plan to raise capital gains taxes will curb investment in digital assets.

Capital gains are classified into long-term capital gains and short-term capital gains, depending on whether the assets were held for the long term or within a shorter span.

Bharatiya Janata Party has recommended adjusting rules on taxing equity market returns in the upcoming budget on February 1.

Budget 2020: Currently the duration of LTCG tax for equity is at one year, two years for property and three years for gold.

If property is sold within 24 months, one has to pay a short term capital gains tax (STCG) on the gains as per an individual's income-tax slab.

Long-Term Capital Gains Tax: This tax is applicable on profits arising from sale of applicable assets held for more than one year from the date of purchase.

Finance Ministry also decided to withdraw enhanced surcharge on short and long term capital gains arising from transfer of equity shares.