capital gain

This query is : Resolved

vaibhav (Querist)
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13 September 2017 Sold an residential house propery and purchased residential plot. Whether deduction available under section 54 of income tax??

Amol S Joglekar

Amol S Joglekar (Expert)
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13 September 2017 mere plot purchase is of NO use......you need to construct on such plot.....may be small one...in order to avail section 54

Dibin Divyakumar

Dibin Divyakumar (Expert)
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13 September 2017 Has to Construct a house within 3 Yr of sale, and has to maintain the sale proceeds in separte LTCG Excemption account till the house is consturcted.

K Srinivas, CMA CS

K Srinivas, CMA CS (Expert)
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13 September 2017 Agree with the above points. And till such time you complete the construction within 3 years from the date of transfer, you can park the capital gains money in Capital Gains Account scheme in a Bank. You can withdraw the amount only for construction purposes.