At the time of a property sale, you are expected to pay tax for the profit gained from the sale of the property. It is important to know if the type of gain is a short term capital gain or a long term gain and pay the tax accordingly. When you are selling you property, you are liable to pay tax on the gain earned on the sale of the property.

What kind of Home is a tax sale?

There are two types of tax sale homes: tax lien sale homes and tax deed sale homes. Both represent sales of homes with unpaid property taxes.

What kind of tax is on sale of property in India?

Under the revised rules in India, if a property is sold after two years from its acquisition, it would attract long-term capital gains (LTCG) tax. A property sold before that period would attract short-term capital gains (STCG) tax.

How to get tax exemption on sale of house?

Taxpayers can now obtain long-term capital gains exemption on sale of a house by investing in two houses where capital gains is less than 2 Crore rupees. Earlier, the exemption was available for investment in only one property. 9. STRONG TAX PLANNING-

How to calculate capital gains tax on property sale?

If the property was brought in the year 2000, the gain on the sale will be considered as a long term capital gain. The long term capital gain is Rs.49,80,000 (Rs.79,80,000- Rs.30 lakh). The capital gain can be further reduced by adding your expenses for property upgrades, expenses of transfer and maintenance.

What kind of taxes do you pay on real estate?

1 Income Tax. 2 Value-added tax (VAT) There shall be imposed a 12% value-added tax (VAT) on real estate sales of those who are engaged in the business of selling, developing, leasing or sub-leasing 3 Capital Gains Tax. 4 Documentary Stamp Tax. 5 Transfer Tax. 6 Creditable Withholding Tax. …

What’s the tax rate for selling a rental house?

If you’ve depreciated the property, you might pay a different rate. For example, if you buy a rental house at $300,000, take depreciation deductions of $100,000 over the years, and then sell it for $320,000, your gain for taxes is $120,000. But you pay at a maximum 25 percent rate on the first $100,000.