Property Capital Gains Tax Calculator

Calculate capital gains tax on sale of house, land, or other immovable property for AY 2026-27.

Calculate Property Capital Gains Tax

Renovation, construction additions
Brokerage, legal fees, stamp duty

Exemptions (Optional)

Property Capital Gains Tax

Enter property details to calculate tax.

Property Capital Gains Tax Rules (AY 2026-27)

Tax Rates (From FY 2024-25)

Holding Period Type Tax Rate ───────────────────────────────────────── ≤ 24 months STCG As per slab rates > 24 months LTCG 12.5% (Flat Rate) IMPORTANT CHANGE (Union Budget 2024): • LTCG rate reduced from 20% to 12.5% • Indexation benefit REMOVED for properties sold from FY 2024-25 • No more Cost Inflation Index (CII) adjustment

Calculation Formula

Capital Gain = Sale Value - Purchase Cost - Cost of Improvement - Transfer Expenses Taxable Gain = Capital Gain - Exemptions (54, 54F, 54EC) Tax = Taxable Gain × 12.5% (LTCG) OR Taxable Gain × Slab Rate (STCG)

Available Exemptions

  • Section 54: Exemption on sale of residential house if you buy/construct another residential house within 2/3 years. Max exemption = ₹10 crore.
  • Section 54F: Exemption on sale of any asset (other than residential house) if invested in residential house. Conditions similar to Sec 54.
  • Section 54EC: Invest in specified bonds (NHAI, REC, PFC, IRFC) within 6 months. Max ₹50 lakh. Lock-in: 5 years.
  • Capital Gains Account: If new house not purchased by due date, deposit gains in CGAS to claim exemption.

Examples

1Property sold in FY 2025-26

Bought: ₹50L (2015) | Sold: ₹1.2 Cr (2025) | Holding: 10 years

Capital Gain = ₹1.2 Cr - ₹50L = ₹70,00,000

No indexation from FY 2024-25

Tax @ 12.5% = ₹8,75,000

Tax Payable

₹8,75,000 + Surcharge + Cess

FAQs

From FY 2024-25, LTCG on property is taxed at 12.5% flat rate (reduced from 20%). The holding period for long-term is more than 24 months.

No, indexation benefit has been removed from FY 2024-25 for all assets including property. However, Budget provided choice for properties bought before 23-Jul-2024: either 12.5% without indexation OR 20% with indexation, whichever is lower.

If you sell a residential house and buy another residential house within 2 years (or construct within 3 years), you can claim exemption on capital gains. Maximum exemption capped at ₹10 crore from FY 2023-24.

Section 54EC bonds (NHAI, REC, PFC, IRFC) offer exemption up to ₹50 lakh if invested within 6 months of property sale. Lock-in period is 5 years. Interest rate is around 5-5.25%.

Yes, you can claim both exemptions if total gains exceed individual exemption limits. Example: ₹10 crore under Sec 54 and ₹50 lakh under Sec 54EC.

If sale consideration is less than stamp duty value (circle rate), higher of the two is considered as sale value for capital gains calculation (Section 50C).

If you can't invest in new house before ITR due date, deposit gains in Capital Gains Account Scheme (CGAS) in a nationalized bank. Use it within 2/3 years or gains become taxable.

Yes, buyer must deduct 1% TDS under Section 194-IA if property value exceeds ₹50 lakh. For NRI sellers, TDS is 20% on LTCG (can apply for lower TDS certificate).

⚠️ Disclaimer: For estimation only. Tax rules changed from FY 2024-25. Consult a CA for large transactions.