We have compiled an Excel based Capital gains calculator for Property based on new 2001 series CII (Cost Inflation Index). It calculates both Long Term and Short Term capital gains and associated taxes. You need to feed your property sale & purchase date along with values. There is option to include cost of repairs/improvement that you might have incurred during the holding period.
Before you start using the calculator here are some things you must know:
Short Term Vs Long Term Capital Gains
If the property is sold after 2 years (changed in Budget 2017 and applicable from April 1, 2017) of purchase the corresponding gains or losses is called LONG Term Capital Gains (or Loss). If sold within 2 years its SHORT Term Capital gains (or loss).
Long Term capital gains from property is taxed at flat rate of 20% after taking indexation in account. There is education cess of 3% effectively taking tax to 20.6%. After April 1, 2018 the cess would increase to 4% taking the effective tax to 20.8%.
Short Term Capital Gains from property is added to income and taxed at your income tax slab rates.
How much Taxes you Need to Pay this Year? Download Our Income Tax Calculator to Know your Numbers
Do you know how much tax you need to pay for the year? Have you taken benefit of all tax saving rules and investments? Should you use the “NEW” tax regime or continue with the old one? In case you have all these questions just Download the Free Excel Income Tax Calculator for FY 2021-22 (AY 2022-23) and get your answers.
How to Calculate Capital Gains?
- Take Full value of consideration (sale price)
- Subtract the following from above:
- Purchase cost
- Any cost related to purchase of property like stamp duty, registration cost, brokerage, traveling cost related to purchase, etc
- Cost of major repairs, improvement or renovation during the holding life of the property
- In case of inherited property you can consider cost related to inheritance paper work.
- The resultant amount is Capital Gains.
For long term capital gains all the deductions are indexed using CII (Cost Inflation Index) published annually by Government of India.
How to Pay 0 Income Tax on Salary of Rs 20+ Lakh (FY 2020-21)?
As you can see with the above income tax calculation, salary components and salary structure plays a very important role in how much income tax you pay. We have come up with some optimised salary structure using which you pay NO income tax even with CTC of more than Rs 20 Lakhs.
Capital Gains Calculator for Property 2021 – Points to Remember
- In case the property has been purchased before April 2001, you will need to get its fair valuation done by income tax approved valuers as of April 2001. This is because new revised CII for indexation started getting published taking FY 2001-02 as base with value of 100.
- Cost on improvements made before April 1, 2001 cannot be considered as that should be included in the value of property calculated as of April 1, 2001.
- To calculated capital gains for inherited property, the purchase cost and time of the original buyer is taken into consideration.
Calculator for Small Saving Scheme – PPF, SCSS, Sukanya Samriddhi, NSC, Post Office FD/RD/MIS
Small saving scheme sponsored by Government of India like Sukanya Samriddhi Account, PPF, Senior Citizens’ Savings Scheme are quite popular and rightly so because of the safety, higher interest rate offered among other things. We have built calculator for each of them where you can check the maturity amount, loan eligibility, partial withdrawal and more. Click on the links to get the relevant calculator
Sukanya Samriddhi Yojana Calculator
Senior Citizens’ Savings Scheme Calculator
Post Office Fixed Deposit (Time Deposit) Calculator
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Download the excel based Capital gains calculator for Property from the link below:
Save Capital Gains Tax
There are two ways you can save Long Term Capital Gains from sale of property.
- Reinvest the amount to buy one new residential property (NO land or commercial property) in India within 2 years of selling or construct a house within 3 years. If you already have bought a house within 1 year before selling the property you get tax exemption.Invest in REC, NHAI, NABARD &
- PFC Capital Gains Bond up to Rs 50 Lakhs under Section 54EC. The bonds mature in 5 years and offer interest of 5.25% payable annually. The interest received is fully taxable.
How to Save Long Term Capital Gains Tax on Property?
Long Term Capital Gains Tax on Property can severely dent your returns especially if the property sale is happening after many year or if you have seen a huge return in a very short period of time. The good news is you can save the long term capital gains tax on property – click to read the detailed post on the same.
In case you are not able to invest full capital gains as above, you will get tax exemption only on invested amount. The remaining amount would be taxed as per rules. The sale proceeds should be deposited in Capital Gains Account scheme with banks if the gains have not been utilised for buying property or bonds before filing income tax returns.
Sir, i have bought a agricultural land fit for house sites on 25.9 2014 for rs.3,96,000/- and i have sold the property on 18.7.2018 for rs.47,52,000/- and capital gain arised is rs.43,56,000/-. How much capital gains tax i have to pay? 10% on the total gain or 20% on the indexed value?
Dear sir,
I bought a piece of land (5600 sq.ft.)in a village in Dehradun in Dec.89 for Rs.1,00,000/-including brockerage,stamp duty and registration charges.I invested Rs.2,00,000/- in improvement of this land by levelling,filling, boundandary walls and gate etc.in March 2010. I sold half of the piece of land (2800 sq.ft) in April 2018, at a price of Rs.20,00,000/- How LTCG tax liability will be calculated in this case and what would be approximate tax liability if I do not purhcase land or construct house?
Thanks and regards,
KS RAWAT
Dehradun.
Hi, I own 2 houses already and recently registered a flat in November 2017. In May 2018 I sold a property – Can I use the LTCG against the purchase of new flat in 2017?
Dear Sir,
I have sold half of my residential plot which I had bought in 2003. Will I get Capital Gain Exemption if I use the proceeds to construct house in the remaining half of the same residential plot?
Sir I purchased a flat in 2010-11 for 10L and sold now in 2018-19 for 43L. I live in different house and this flat was always left vacant. I want to know that if I invest in a new residential flat (not for own usage) can I still save the capital gain? Is there any limit to number of properties one can buy.
Dear Sir, I purchased an agriculture land adjacent to municipal area in 2006 for 10 lac. Fair market price now is approx 1 cr. I wish to buy a home from the same amount. can I avail capital gain exemption?.Please advise. thanks
Yes you can save tax by buying/constructing your house in next 2 years. Read details @ How to Save Long Term Capital Gains Tax from Property?
Dear Amit,
For the year 2017-18 my short term capital gain on sale of shares is Rs.52,500(Fifty two thousand five hundred only).
I am under 30% income bracket with my income from salary. So how much tax I would have to pay for capital gain on shares?
Please clarify.
For the year 2017-18 my short term capital gain on sale of shares is Rs.52,500(Fifty two thousand five hundred only).
I am under 30% income bracket with my income from salary. So how much tax I would have to pay for capital gain on shares?
Is there any way to save the tax for short term capital gain of shares?
Please clarify.
Hi Amit sir,
My uncle is selling his house now amd moving to another state. He built it in the early 80’s. His total cost of builing came to around 9L then. He is selling it for 75L now. So what would be his capital gains and how much tax does he have to pay.
Step 1: Get the fair property value estimated by a local government recognized valuer as of April 1, 2001
Step 2: You can use the Capital Gain Tax calculator to get the gains and tax
Step 3: If you want to save long term capital tax, refer to this post
Hello,
I Purchase Flat 2BHK on 15th April; 2010; (F.Y.2010-11) with Govt Valuation rate is 8.5 Lakh.
My Sale deed for Flat is 20th March 2014. (F.Y.2013-14)
I sale Flat on 24th August 2016 (F.Y. 2016-17) with actual sale price is 21 Lakh, but Govt Valuation is 28.76 Lakh.
Now if I want to Pay Tax under whether it’s under Long Term or Short Term.
Which value should be considered for Calculation it’s 21 Lakh or 28.76 Lakh.
Is their any way to save tax.
Thanks for expert suggestion.
As per me the gains would qualify for Short term capital gains as the sale deed & sale by you period is less than 3 years (the 2 year rule was changed from FY 2017-18 onwards).
You cannot save short term capital gains but offset in case you have any short term capital losses!
Is this still remains the same after Budget 2018.
Pleas share if there is any change.
There is NO change in computation of capital gains for property in Budget 2018. However from April 2018 the investment duration of long term capital savings bond would go up from 3 to 5 years.
where I can get the XL sheet with the new base year of 2001 ?
thanx
the calculator has been updated in this post with 2001 series CII.
in short wile i am sealing my flat ( purchased by me in 1999 @ 295000 ) to one gentlemen @ 1460000 kindly let me know how i can avoid capital gain tax by saving schemes.
I have purchased a old house for 2Crore. I have paid fully with my saving and retirement benefits.
Later after 6 months I sold my 30×40 site for 75 Lakh. And I sold my flat for 50Lakh
Captital gain from these property can be adjusted with the purchased of house which happed 6 months earlier.
Yes you can take benefit of capital gains on sale of flat & plot on purchase of one new flat.
Dear Sir
I notice from your website that the XL sheet for Capital Gain calculation is based on the base year of 1981. I shall appreciate if you can mail me OR mail me the link where I can get the XL sheet with the new base year of 2001.
Thank you.
Coming up in next few days
Sir I am going to purchase a plot in Noida . Which circle rate is 72000 / meter and deal value is 55000/ meter. I am salaried person my salary is 51 lac. Plz calculate how much tax I have to paid tax according this capital gain . By buyer
I want to sell my house bought in Aug 1991 now at a price of Rs.80 lacs what capital gain tax I have to pay now I bought for Rs.2.50lacs at that time pl reply me
simply one of the best sites for taxation matter
Thanks 🙂