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Capital Gains Tax on Property Calculator (India)

LTCG on land, a flat or a house: 12.5% flat or 20% with indexation for property bought before 23 July 2024, whichever is lower, with surcharge and cess.

Updated · By Niraj Kumar · 16 sources

What you sold

The asset you sold wasThe asset you sold was
₹

₹1.5 Cr

₹
₹

₹50 L

₹

Held 135 months: long-term.

You

Resident in IndiaResident in India
Own 2+ other houses on the sale dateOwn 2+ other houses on the sale date
₹

Sets the surcharge band: 15% on this gain.

The house you are buying

₹

₹90 L

₹

Duty is charged on this instead when it is higher than the price.

In whose nameIn whose name
Capital gains tax₹5,23,582₹14,72,575 before Section 54F relief
Stamp duty
₹5,40,000
6% of ₹90,00,000
Registration
₹30,000
1%, capped at ₹30,000
Saved by a woman's name
₹90,000
Against a man buying alone
Long-term capital gain
₹98,50,000
12.5% without indexation: the cheaper of the two methods
Section 54F exemption
₹63,47,778
On ₹95,70,000 reinvested, stamp duty included
Tax payable
₹5,23,582
On ₹35,02,222, with 15% surcharge and 4% cess
Tax saved
₹9,48,993
TDS by the buyer (1%)
₹1,50,000
On sales of ₹50 lakh or more

How much of the gain the new house covers

64% of the gain is exempt. Investing ₹1,48,50,000 in all, ₹52,80,000 more, would exempt all of it: under 54F that is the whole net sale price.

Not bought yet? Deposit the amount in a Capital Gains Account Scheme account before your return's due date to keep the exemption, and buy within 2 years or build within 3.

12.5% flat or 20% with indexationBought before 23 July 2024, a resident pays whichever is lower. Indexation uses CII 384 for 2026-27.
MethodCostGainExemptTax
12.5% without indexation (lower)₹50,00,000₹98,50,000₹63,47,778₹5,23,582
20% with indexation₹75,59,055₹72,90,945₹46,98,609₹6,20,087

How is capital gains tax on property calculated?

Property held over 24 months is taxed at 12.5% on the gain without indexation. Residents who bought before 23 July 2024 may instead pay 20% on the gain after indexation, whichever is lower. Bought in 2005 for ₹25 L and sold for ₹1.5 Cr, tax is ₹18,46,325 the flat way or ₹15,89,453 indexed.

stamp = max(price, circle value) × duty% (+ cess on duty); registration = value × reg% (capped in some states); new house cost C = price + stamp + registration, counted up to ₹10 crore; net consideration N = sale price − transfer costs; LTCG = N − cost (or N − indexed cost); Section 54 (82): exemption = min(LTCG, C); Section 54F (86): exemption = LTCG × C ÷ N, at most LTCG; tax = (LTCG − exemption) × 12.5% (or 20% indexed) × (1 + surcharge) × 1.04

This page uses the same method as the Stamp Duty & Capital Gains Planner (India), which explains each term and assumption in full.

Worked example

A plot bought in June 2005 for ₹25 L, sold in September 2026 for ₹1.5 Cr by a resident with ₹18 L of other income.

  1. 1Net consideration: ₹1,48,50,000
  2. 2Without indexation: gain ₹1,23,50,000 × 12.5% plus surcharge and cess = ₹18,46,325
  3. 3Indexed cost: ₹25,00,000 × 384 ÷ 117 = ₹82,05,128
  4. 4With indexation: gain ₹66,44,872 × 20% plus surcharge and cess = ₹15,89,453

The lower is 20% with indexation: ₹15,89,453, before any Section 54 or 54F relief.

Frequently asked questions

When is indexation still allowed on property?

Only for resident individuals and HUFs selling land or a building bought before 23 July 2024. They pay the lower of 12.5% without indexation and 20% with it. Indexation tends to win on property held a long time that has grown slowly. Property bought after that date, and every NRI sale, pays a flat 12.5%.

What is the Cost Inflation Index for 2026-27?

384, notified by the CBDT in July 2026, up from 376 for 2025-26. Indexed cost = purchase cost × CII of the sale year ÷ CII of the purchase year. Property bought before April 2001 starts from its fair market value on 1 April 2001, at index 100.

Sources

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