ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -In India, owners of real estate properties are subject to pay a property tax. It is an annual charge levied by the Government of India on property owners.

Detailed explanation-2: -Property tax needs to be paid annually, and late payment can attract a fine in the form of interest on the amount due, which can be up to 2% per month. It is also important to note that the onus of paying property tax is with the owner, and not the occupant of the property.

Detailed explanation-3: -Capital Gains Tax on Sale of Property If the property was held by the seller for a period less than 3 years, tax would be levied as per the Income Tax Slab Rates of the Individual. If the property was held for more than 3 years, Capital Gains Tax would be levied at the rate of flat 20%.

Detailed explanation-4: -The LTCG Tax is applicable when a particular property is sold after 24 months of buying it. The time period was reduced from 3 years to 2 years in Budget 2017. The rate of LTCG Tax is 20%. This is over and above the regular income tax payable by the seller, on the income earned through salary or business profit.

Detailed explanation-5: -The liability date for Local Property Tax (LPT) is 1 November each year. This means that your property is liable for LPT for 2023 if it is a residential property on 1 November 2022. You need to pay the LPT charge for 2023 if you are the liable person for LPT on 1 November 2022.