How is inherited property taxed? I got a house from my parents and want to sell to a builder for redevelopment.
—Piyali Seth
The inheritance of the property itself is not taxable in either the hands of your parents or you.
The sale of an inherited property shall be taxable as capital gains in your hands.
Depending on the period of holding of the property by you (including your parents from whom you have inherited the property), the resultant gains are taxed either as long-term capital gains (LTCG) or short-term capital gains (STCG).