Can you please explain all sort of taxes related immovable property when purchased, hold and sold? With my limited knowledge I know there is a (short and long terms) capital gain tax when we sale an immovable property. There must be income tax paid at the time of purchase of any immovable property (should use white money to purchase the property). Apart from these, are there any other taxes if we have immovable property with us and not earning any income from it?
1 Answers
Hi,
- As mentioned , STCG & LTCG taxes.
- If the property is valued more than Rs 50 Lakh, then the buyer has to pay TDS @ 1% and deposit it to the Govt account.
- Wealth tax has now been abolished.
- Have to get the mutation of property done and the owner of the property has to pay the applicable property taxes, cess, betterment charges and other local civic bodies' taxes/fees.
- The monetary limit for quoting PAN for sale or purchase of immovable property has been raised to Rs.10 lakh from Rs.5 lakh. Properties valued by Stamp Valuation authority at amount exceeding Rs.10 lakh will also need PAN.
- The Registrar of properties reports purchase & sale of all immovable property exceeding Rs 30 Lakh to the Income Tax authorities.
- Value added tax & Service Tax are payable for under-construction property.
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