Long term capital gain tax

An Income Tax Practioner/CA is the beat person to assist you in the matter.

In case of long-term capital gain, capital gain = final sale price - (transfer cost + indexed acquisition cost + indexed house improvement cost).

To calculate the long-term capital gains accurately, follow the steps mentioned below:

Step 1: Determine the Full value of consideration

Step 2: Determine the Net value of Consideration

Step 3: Calculate the Cost of Acquisition 

The formula for calculating the indexed cost of acquisition is:

Indexed cost of acquisition = Cost of acquisition x (CII of the year of transfer / CII of the year of acquisition)

Step 4: Deduct exemptions under section 54/54B/54D/54EC/54F

Step 5: Long-Term Capital Gains chargeable to tax:

The long-term capital gains chargeable to tax formula is:

LTCG chargeable to tax = Net sale consideration - Cost of Acquisition - Cost of Improvement - Exemptions under Section 54/54B/54D/54EC/54F.

Consult tax lawyer ..