is capital gain tax rebate(property) gets reduced or affected if new property bought has two owners (one who had a property earlier and second having purchased property for first time)? does capital gain rebate get diminised or distributed between new owners in percentage of ownership?

Ans: Yes

Ans: Tax exemption applicable in case you transfer house property and invest gain amount in acquiring new property.

You must buy the residential house property 1 year before or 2 years from date of such transfer of property or construct the house property within 3 years from date of transfer of property.

Ans: Person can invest capital gain earned from one house property in acquiring another house property to save tax from capital gain. New house property can be in joint name.

As soon as capital gain amount is invested in new house property, Jointly acquired property will not make ineligle from capital gain exemption.

Ans: Congratulations on successfully selling your joint property and managing the proceeds wisely! It's wonderful to see you taking proactive steps towards optimizing your financial situation.

Now, regarding your question about buying a joint property to obviate Capital Gains Tax, let's break it down:

Firstly, it's essential to understand that the sale of a property typically attracts Capital Gains Tax (CGT) on any profit earned from the sale.
However, under Section 54 of the Income Tax Act, there's a provision for exemption from CGT if the sale proceeds are reinvested in another property within a specified time frame.
In your case, since both you and your wife received 50% of the sale proceeds separately in your respective bank accounts, each of you can utilize your share to purchase a new property individually or jointly.
By purchasing a joint property, you can pool your resources and invest in a new asset together. This can be a strategic move to utilize the sale proceeds effectively and potentially minimize tax implications.
However, it's crucial to ensure that the new property meets the criteria for CGT exemption under Section 54. For example, the property should be purchased within the specified time frame and held for a certain period to qualify for the exemption.
Additionally, consult with a tax expert or Certified Financial Planner to understand the specific eligibility criteria and implications of reinvesting the sale proceeds in a joint property.
Keep in mind that while buying a property can offer potential tax benefits, it's essential to consider other factors such as location, affordability, and long-term financial goals.
As you navigate this process, remember that careful planning and informed decision-making are key. Seek professional guidance to ensure compliance with tax laws and optimize your financial outcomes.
Finally, I commend you for being proactive in exploring options to manage your finances effectively. With the right guidance and strategy, you can make informed choices that align with your goals and aspirations. Best of luck on your journey!