What is the tax liability on sale of farm land?2 min read 23 Apr 2023, 10:25 PM IST
For the purpose of calculation of LTCG, the cost and the indexed cost of acquisition can be considered as per the applicable provisions
I am a 33-year-old salaried professional who wants to sell my ancestral agricultural land located in a rural area.
How should I transact with the buyer considering that I want to deposit the entire amount in my bank and reinvest thereafter? The registry document, however, will be based on the circle rate of the property, while the actual transaction will be done at the market rate, which is three times that of the circle rate. Since I am already in the 30% tax slab, what will be the tax liability on this transaction?
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