Capital gain account scheme

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This discussion clarifies the rules for the Capital Gains Account Scheme. To claim exemptions on long-term capital gains from property sales, the funds must be deposited into the scheme before the Income Tax Return (ITR) filing due date. It's important to note that only the calculated long-term capital gain amount needs to be deposited, not the entire sale proceeds.

Kalpesh

Kalpesh (Querist)

07 September 2020 I sold a property in may 2019 and there is a long term capital gain accrued.i put the money in my saving bank account till now.i want to know about my last time limit to open an capital gain scheme account so that I can reinvest from it,and how much amount should be deposited there ? Is it only capital gain or entire sale proceed ? Pls clarify me .Thanks in advance..

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

08 September 2020 On case of sale of house property capital gains has to be deposited in capital gains scheme before the due date for filing of ITR.

Kalpesh

Kalpesh (Querist)

08 September 2020 Thanks for reply sir..I have read in an article that you can file your itr till 31 March 2021 with the option of paying penalty...so it means can I drag my capital gain scheme account till 31 march as well if I am ready to pay penalty....?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

08 September 2020 No you have to deposit within due date of filing return without penalty.

Kalpesh

Kalpesh (Querist)

08 September 2020 Last thing sir..how much amount I should deposite in capital gain scheme account ? Is it entire sale proceed or calculated LTCG only ??