Capital gain u/s 54f

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

20 August 2014 As per sec 54 F, assessee `should not own more than one house` for claiming this benefit.
MORE THAN ONE HOUSE- means only in India or anywhere in the world????
Dear experts please give specific reply with case law, (if any) applicable for the AY 2013-14.

CA SUNIL K GARG

CA SUNIL K GARG (Expert)
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20 August 2014 sir,
the section 54 f is applicable both for resident and non resident.hence house in india or any where else will be taken as owning house

however prior to finance act 2014, the investment in house out of india was eligible for deduction under sec 54 F. but the finance act substituted the word "constructed a residential house" by "constructed one residential house in india".
now the position of law from AY 2015-16, is that to avail deduction u/s 54 f, the assesse has to invest in india in one residential house

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Querist : Anonymous

Querist : Anonymous (Querist)

20 August 2014 Dear Mr.Sunil

Thanks, your first two lines are relevant to my question. I am also of the same view but dont have settled case or write ups to show this to forum. The fact is:
Resident having house one in India and another in UK (totally 2) ,still invested one more house in India and claimed 54F??. is it allowed??

CA SUNIL K GARG

CA SUNIL K GARG (Expert)
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22 August 2014 sir, according to me , deduction u/s 54 f will not be allowed

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