20 June 2011
Mr X has earned a Long term capital gain of Rs 20 cr. He deposits the same in capital gains accounts scheme and plans to construct a house of Rs 20 cr within next 3 years n save tax on the capital gains. In the meantime, he earns interest amounting to Rs 1.20 crs every year for the next 2 years on the capital gains accounts scheme amount. This amount is invested by him again in buying a new housing property worth Rs 1.20each every year besides d house of Rs 20 cr which he already plans to construct in 3 years to avoid tax. What would be the tax implications in such a case as the assessee would be buying 3 houses now, Rs 20 cr, 1.20 cr, 1.20 cr.
20 June 2011
U HAVE NOT SHARED THE SOURCE OF CAPITAL GAIN HOWEVER IN ANY CASE IF U INVEST INTEREST AMT IN PURCHASE OF HOUSE THEN EX UNDER SECTION 54/54F WILL NOT BE ALLOWED
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