The windfall profit made out of the sale of the house property/plot of land, less the indexed value of purchase cost less allowable expenses made on the property is termed as Capital Gain and is taxed at 20% for long-term assets (which are held for 2 years above) and for short-term assets (which are held for less than 2 years), the rate of tax depends on the taxable income of the seller. The purchaser has to mandatorily deduct TDS from the sale price, which depends on the sale consideration and also varies for Resident Indians and for Non-Resident Indians. There are few exemptions to claim relief from Capital Gains Tax.
Selling a Property:
A piece of time-tested advice is ‘selling of property should be the last resort!’ This is due