How New Capital Gains Tax on Property Reduced Tax Burden

Published On: July 25, 2024 - Budget 2024 announced the removal of the indexation benefit for properties bought up to 2001. Additionally, the long-term capital gains tax was reduced from 20% to 12.5%. Many experts have voiced concerns that removing the indexation benefit will substantially increase the overall tax burden for homeowners, even though the tax rate itself has been cut to 12.5%. However, Finance Minister Nirmala Sitharaman disagrees.