Ms. Priya has always been financially aware and strategic with her investments. In January 2022, she saw an opportunity in gold and purchased gold…

Computation of capital gain tax paid by Ms. Priya for A.Y. 2025-26 Particulars Particulars ₹ On sale of jewellery Sale consideration 4,75,000 Less: Cost of acquisition (As transfer is on or after 23.07.2024, the indexation benefit would not be available) 3,25,000 Long term capital gains [Since jewellery is sold on or after 23.7.2024 and held for more than 24 months] 1,50,000 On sale of house property Full Value of Consideration [Stamp duty value of 90lakhs, since stamp duty value of 90lakhs exceed actual consideration of 80lakhs by more than 10%] 90,00,000 Less: Cost of acquisition [₹ 10,00,000] (As transfer is on or after 23.07.2024, the indexation benefit would not be available) 10,00,000 80,00,000 Cost of acquisition Higher of - - Actual cost - 8,80,000 +8,800 = 8,88,800 and - Lower of Fair Market Value (FMV) as on 1.4.2001 of 10.8 lakhs and stamp duty value of 10lakhs. Capital Gain chargeable to tax 81,50,000 Tax on capital gains Tax on LTCG on sale of jewellery [₹ 1,50,000 x 12.50%] 18,750 Tax @12.5% on LTCG on sale of house property [As the asset is a long term capital asset, being land or building acquired before 23.07.2024 and transferred on or after 23.07.2024 by a resident individual, the tax shall be computed with indexation @20% and without indexation @12.5%, whichever is beneficial to the assessee.] 10,00,000 Tax @20% with indexation Sale consideration - 90,00,000 Less: Indexed cost of acquisition - 10,00,000 x 363/100 = 36,30,000 LTCG = 53,70,000 Tax @20% = 53,70,000 x 20% = 10,74,000 Tax @12.5% without indexation - Tax @12.5% = 80,00,000 x 12.5% = 10,00,000 10,18,750 Add: Surcharge @10% [Since total income exceeds 50lakhs but does not exceed 1crore] 1,01,875 11,20,625 Add: HEC@4% 44,825 Tax on capital gain 11,65,450