Investment in construction of house property
srivani (Article Assistant) (78 Points)
21 January 2017srivani (Article Assistant) (78 Points)
21 January 2017
srivani
(Article Assistant)
(78 Points)
Replied 30 January 2017
Thank you sir,
Can you please elaborate
(1) Is there any case law? If so Please let us know
(2) What is the percentage of Investment in Land (for the purpose of construction of house property) from the capital gains
Example: I have a capital gain of Rs.20,00,000/- and i have deposited the whole amount in CGAS scheme. Iam planning to construct a house property and the value of land which is for construction is 25,00,000/- then Can I use whole amount of CGAS scheme for the purchase of land and I'll construct house property after the purchase
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(161002 Points)
Replied 30 January 2017
1. Mahendra Pal Singh Vs. ITO 2567/2011 (Del.)
2 The cost of the plot together with cost of the building will be considered as cost of new asset provided the acquisition of the plot and also the construction thereon are completed within the period specified in these sections. [Circular no. 667, dated 18-10-1993]
The primary condition is "A Residential House Property in India" Any where the specific ratio not clarified.