I would like to know the following about capital gains on sale of flat:
- If the flat being sold is 10 years old, whether Capital gains tax is applicable ?
- If yes, than what is the rate of Capital Gains tax?
- To avoid Capital gains tax are there any provisions? What are those?
- One of the options is to invest the proceeds of the sale into NHAI bonds, I have been told. Whether the whole proceeds are to be invested or only the capital gains portion is to be invested or the difference between original cost and sale price is to be invested in theses bonds?
- Further, whether the interest on these bonds is tax free? What is the periodicity of interest payment i.e., monthly/quarterly/half yearly/ yearly?
- Other than the above are there any options to avoid tax?