Capital gain

This query is : Open

RAM HARIT (Querist)
Follow

10 August 2011 I sold my house in October 2009 and in November 2009 I invested the entire amount of Rs. 24 lacs in SBI Capital Gains Fixed Deposit for 3 years.

What I wanted to know is regarding the payment time of the tax liability on the amount of Rs 15,00,000 as per the return I filed in 2009-2010. This was calculated based on the purchase price, indexing cost etc.

The question is:

Should I invest in another flat before 2 years and can get possession at a later date?

Should the date of possession be within 2 years of the sale, or is it the date of investing the amount of Rs. 24 lacs? In order to avoid capital gains tax?

Should I continue to keep the amount in capital gains FD of SBI, then when do I pay the tax?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
Follow

10 August 2011 Should I invest in another flat before 2 years and can get possession at a later date?

You have to invest it within 2 years in a residential house. Do not worry about completion, but take care, you have to invest, and, not waste the money. It should be get completed by the builder as the earliest possible.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
Follow

10 August 2011 Should the date of possession be within 2 years of the sale, or is it the date of investing the amount of Rs. 24 lacs? In order to avoid capital gains tax?
.

Date of purchase (and not possession)
is within 2 years from the date of sale of original asset.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
Follow

10 August 2011 Should I continue to keep the amount in capital gains FD of SBI, then when do I pay the tax?
.
You have to pay tax after the 3rd Sales Anniversary of your original house.
You will be liable to pay Capital Gain Tax.
As such will not be able to escape from the LTCG Tax Liability.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Mohammad Abdu Fayaz

Sidhartha sankar pillai

Anoop KK

Srikanthan S

Santosh Behera

Subscribe Now

Capital gain

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Manager- Finance and Compliance

Accountant

Senior Executive

GST CONSULTANT

GST CONSULTANCY

CA Final