query on capital gain indexation

[Blearn]

i have brought a property in 2010 for 27.5L and sold it in 2024/April for 29.5L. Is it applicable for capital gain indexation? if so how is the indexation calculated for capital gain/loss?

[Padmanathan KV]

Yes, the option of indexation is available to you. You should have ideally disclosed the capital gains in returns for AY 2025-26 (since LTCG pertains to FY 2024-25)

AI Summary

Property sale capital gain indexation is available; report the long-term capital gain in AY 2025-26 tax return. Where a capital asset qualifies as long term, the taxpayer may apply indexation to the cost of acquisition to compute taxable capital gain; the long term capital gain from an April 2024 sale pertains to FY 2024-25 and should be disclosed in the income tax return for AY 2025-26.