Dear Sir/Madam,
Following is the case :
I had bought two flats of Rs.572000/- each in july 2003.
Flat A : sold & registry done in Aug 2013 but due to delay in home loan procedure by buyer I had received money in my account in Oct 2013. Selling Cost 4050000/- lacs.
Flat B registry doneon 1st Feb 2014 & received 5lacs advance in Jan 2014. Still awaiting balance 20lacs from buyer which is expected either in end of mar 2014 or in early Apr 2014.
Q1 : What is the total capital gain on sell of two flat A & B.
Q-2 : Till what date I have to invest capital gain money received by sell of both flat w.r.t flat A & B as date of sale is different .
Q-3 :What are suggestions on investments of capital gains so that I don’t have to pay any tax?
Q.4: is it necessary to invest long term gain before 31st March 2014 ?
I came to know following facts about investment of capital gains
a- To prevent paying tax, investment should be done in buying in agricultural lands & should be hold for minimum 3yrs. Hence full fund received by selling agricultural land after 3yrs will be fully free from tax & it can be used in buying either residential or commercial properties or residential or agricultural land. Please advise on it.
b- If I invest in flats in soft launch projects then possession should be within 3 yrs & if possession got delayed then I have to pay 20% tax on amount invested in flat ( on capitol gain amount ). How much is it true ?
Apart from above kindly advise on other best possible ways to invest capital gain.
Regards.
RKG
CAclubindia
