Guide to Capital Gains Tax When You Sell Your Property

"Real estate investing, even on a very small scale, remains a tried and true means of building an individual's cash flow and wealth," says Robert Kiyosaki, the author of the bestseller 'Rich Dad, Poor Dad' and a celebrated investor who made millions of dollars investing in real estate.

Real estate or property investment over the last few years has generated decent returns. The year 2022 particularly witnessed a maximum yearly rise (of 6% on average), compared to the previous four years. Besides, 2022 saw a decent improvement in rental yields breaching pre-COVID levels of 2019 across all top seven cities. This has augured well for investors in real estate who look for capital appreciation plus rental yield.

If you sold/transferred your property (be it commercial, residential, or piece of land) or planning to sell it soon, it is important to be mindful of the tax implications.

This guide will provide you with a comprehensive understanding of Capital Gain Tax When You Sell the Property.

In This Issue…

  • What is the Holding Period to classify Short Term Capital Asset and Long Term Capital when you sell the Property
  • Computation of Short Term Capital Gain on Sale/Transfer of Property
  • How is Short Term Capital Gain on the Sale/Transfer of Property Taxed
  • Calculation of Indexed Cost of Acquisition and Indexed Cost of Improvement
  • What if the real estate property sold previously came by the way of a gift, will, inheritance, or succession?
  • Ways to save capital gains made on sale on sale/transfer of property from the axe of tax
  • What if there is a Capital Loss when you sell the property?

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