LTCG: What is Capital Gains Account Scheme? Know how you can save tax even while making money from property?

Posted on 11th Oct 2022 03:43 pm by rohit kumar

If you are planning to build a new house and at the same time want to save long-term capital gains tax, then the capital gains account scheme can be very beneficial for you. By keeping capital in this account, you also get relief from paying heavy tax on profit, while on the other hand interest income is also earned on the deposited capital. Explain that the capital gains account scheme is primarily designed to encourage people to invest the profit from the sale of assets and then invest in some other assets.

 

What is Long Term Capital Gains (LTCG) Tax?

 

Gains on the transfer of a capital asset are taxed under the head capital gains, also known as long-term capital gains tax. Capital gains tax is levied on profits made from the sale of the stock market, house, property, jewellery, car, bank FD, NPS, and bonds.

 

What are the benefits of the Capital Gains Account Scheme?

 

The capital gains account scheme provides the facility to reinvest the gains made on the sale of shares, bonds, mutual funds, and jewellery. In Capital Gains Account Scheme (CGAS) you have to transfer the gains you have accumulated while selling shares, bonds, debt or equity mutual funds, and gold or diamond jewellery and this helps you to cut tax by around 10-20 percent. can.

 

Conditions related to availing capital gains account

 

Not all benefits under the Capital Gains Account Scheme are exempt. For this only LTCG earned on selling the above-mentioned asset can be used. Also, you need to hold your listed shares and equity mutual funds for at least 12 months before selling your gains to be classified as long-term.

 

Also Read: Festive Season: The market running with the double engine in the festive season, benefiting from online shopping

Other news

Weather update: Now cold will haunt Bihar including Delhi, Himachal covered with snow; It will rain here and there in the next 5 days

Weather Update Today: According to the Indian Meteorological Department (IMD), due to the new eas

Israel Iran Tension: Israel retaliated against Iran, with missiles fired, and explosions at the airport, report claims

Recently, Iran attacked Israel with missiles and drones. Now news has come that Israel

Due to pollution in Delhi, many, but 'brake' is applied on vehicles; These are new sources of pollution

With Delhi's air quality slipping from the "very poor" to "severe" category, plying of BS-III pet

Manipur: Three killed in fresh violence in Manipur, militants attack village

In the latest incident of violence in Manipur, three people have died. According to media reports

Australian PM will come on a three-day tour of India on Holi, said- friendship will increase in both countries, told priority

Australia PM India Visit Australian Prime Minister Anthony Albanese will be on a tour of India fr

Chhapra Hooch Tragedy: Poisonous liquor again wreaked havoc in Bihar, three people died in Saran; many were in critical condition

Three people have died after drinking spurious liquor in the Isuapur police station area of the S

Not only the border, but China is also a big challenge in front of India on the trade front.

In the year 2020, after the skirmish of the Indian Army with the Chinese forces in the Galvan Val

Why is America threatening Saudi Arabia with consequences? because of this fury

Saudi Arabia, one of the closest countries to America, seems to be taking its path. There could b

Kisan Andolan: Third round of talks inconclusive, next meeting on Sunday, farmers adamant on MSP, expressed objection on the use of force.

The ongoing third round of meetings between Union Ministers and farmer leaders in Chandigarh cont

Big disclosure in the Mangalore auto blast, main accused Shariq was in contact with ISIS handlers, the aim was to execute the big conspiracy

Mangaluru Blast: The police have identified the main accused in the auto blast case that took pla