Finance Bill 2024: Big Relief for Home Buyers

Published On: August 07, 2024 - In a big relief for home buyers, the government has amended the Long-Term Capital Gains (LTCG) regime for real estate. Taxpayers can now choose between a lower tax rate of 12.5% without indexation or a higher rate of 20% with indexation for properties acquired before July 23, 2024. This change enables individuals or Hindu Undivided Families (HuFs) to compute their taxes under both schemes and pay the lower amount. The amendment was made through Finance Bill 2024, offering substantial relief on long-term capital gains for immovable property. This flexibility provided in the grandfathering provision applies to all property transactions finalized before the Budget's presentation on July 23.