Long Term Capital Gains Tax Calculation on the Sale of Urban Agricultural Land.
I sold my Urban Agricultural Land in June 2024 (FY 24-25) , But before selling this Urban Agri. Land I purchased a new Rural Agricultural land in March 2024 (FY 23-24) by borrowing some money which i had to return (Basically from my Grandfather as a gift).
The Urban Agri. Land which I sold was directly inherited to me by my Grandfather through Gift.
Let say, I sold my Urban Agri Land for Rs. 15,00,000 and Before this I purchased Rural Agri Land For Rs. 10,00,000 (Say these 10 Lakhs were as a gift from Grandfather) in different financial years we can see above.
Now the question arises (many)
1. Can i avail the benefit of exemption(deduction) of Purchasing an Rural Agri. Land form the Gain of Sale of Urban Agri Land (i.e. 15,00,000 - 10,00,000) even if i purchased the Rural Agri Land in the Previous Financial Year (F.Y.) and difference in duration of buying and selling the Land is less than One Year in the case of Sale of Urban Agri. Land (just like in the case of residential property)?
2. Can i avail the benefit of Indexation here , As the Land sold was inherited from my grandfather, which He inherited from his Father so there is no record of price of this inherited land , so how to get the price of this land in 2001-2002 for availing the benifit of Indexation for Tax Calculation
3. Can i get the benefit of " indexation (from 2001 to 2024) " as well as " purchasing other property within 1 year Before or 2 Years After the selling of this Urban Agricultural Land (in F.Y. 2024-25) " Together in A.Y. 2025-26 ?
[basically i want to say that can i get both benefits together , mentioned in Question 1 and 2 in filing return in A.Y. 2025-26?]
4. How to get benefits on the basis of "Cost of Acquisition" and " Cost of improvement "
And on which Part it is applicable i.e. whether it is applicable on the case of before selling , from my grandfather to me or it is applicable on Selling urban Agri Land to purchasing Rural Agri land.
5. Give any other methods or exemption which are applicable to save tax more ! and also tell are there any other aspects left to cover?
As i said the Agri. Land i sold was an URBAN AGRICULTURAL LAND
i said that on the basis :-
(1) The Agri land lies in jurisdiction of GRAM PANCHAYAT
(2) The Aerial Distance of the Agri Land from the Last boundries of nearest Municipal Council
( Nagar Parishad ) is less than 6 KM , but the distance from the Municipal Council Office
Building is more than 6 KM (say 6.20 KM)
(3) The Population of this Municipal Council is more than 1,00,000 (1 Lakh +) (census 2011)