Capital Gains Calculator

Whichever is lower, if your property was acquired before 23 July 2024. The calculator computes both and shows the difference. As a rough guide, indexation usually wins where the property was held a long time and appreciated modestly, since the indexed cost climbs substantially. The flat 12.5% usually wins where appreciation was sharp relative to the holding period.

From the date of acquisition to the date of transfer. For property bought from a builder, the date of allotment is generally taken rather than the date of possession or registration, which can bring the 24-month mark forward considerably. For inherited property, the previous owner's holding period is included in yours, and their cost of acquisition becomes yours.

The purchase price, stamp duty and registration charges, brokerage paid on purchase, and legal fees. Capital improvements such as an added room, a new bathroom or structural work also count as cost of improvement. Routine repairs, repainting and maintenance do not. Keep invoices — the burden of proving improvement cost sits with you.

Section 54 normally allows reinvestment in one residential house. A once-in-a-lifetime option to reinvest in two houses exists where the capital gain does not exceed ₹2 crore. The ₹10 crore cap on the exemption applies regardless, so gains above that are taxable even if fully reinvested.

A long-term capital loss on property can be set off against long-term capital gains from any asset, and carried forward for eight assessment years. A short-term loss can be set off against both short and long-term gains. You must file your return by the due date to carry a loss forward. Missing the deadline forfeits the carry-forward entirely.

For a resident seller, 1% under Section 194-IA where the consideration is ₹50 lakh or more, deposited via Form 26QB and credited against your liability. For an NRI seller, 20% plus surcharge and cess on long-term gains under Section 195, regardless of value. If that exceeds your actual liability, apply for a lower deduction certificate under Section 197 before completing the sale rather than waiting for a refund.