Sunitha N.military_tech232 Oct 2025

Selling an old commercial plot in Warangal — how worried should I be about capital gains tax?

My father bought a small commercial plot decades back and we're finally selling it now that there's a genuine buyer. Someone mentioned capital gains tax and indexation and I got lost pretty quickly. Before I go running to a CA, is there a plain-English version of what actually applies when old family property gets sold, or does it vary too much case to case to even generalise?

3 replies

Manasa P.military_tech2062 Oct 2025

It genuinely varies too much to generalise safely — how long the family has held it, whether it was inherited or bought, whether you reinvest the proceeds, all changes the answer. I'd be careful trusting any forum post, including this one, for the actual figures or sections. What I did: took the original purchase deed and every improvement receipt we still had to a CA before even talking numbers with the buyer, because the tax computation needs that paper trail regardless of what the final rule turns out to be.

Nandini D.military_tech1783 Oct 2025

Seconding — get the CA involved before you sign anything, not after. Some of the reinvestment options have timelines attached, and you don't want to find out about a deadline after it's already passed.

Suresh R.military_tech1453 Oct 2025

Fair, will do that before finalising with the buyer.

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