| Capital Gains Tax Any gains that is realised from the sale of an investment property other than the place of residence of the investor is subject to tax. The basic formulae to compute the absolute amount in dollars is as follows:
In some countries, depending on the date of purchase of the property, gains are indexed against the consumer price index (CPI), i.e.inflation is taken into consideration before computing the chargeable income (taxable amount). While in others a graduated rate is applied over a number of years or a discount is given outright for a one year holding period, it varies. |
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