Claim of exemption u/s 54f
This query is : Resolved
08 December 2011
Can an assessee claim exemption u/s54F for a land purchased for construction of a residential house property 1 year before, the actual sale of a capital asset on which LTCG arises, and constructed a residential house property on that land purchased within 3 years from the date of actual sale of a capital asset on which LTCG arises.
Kindly advice me on this issue and also state the relevant case law if any.
Kindly advice me on this issue and also state the relevant case law if any.
CA. Lohith Jagadeesh
(Expert)
08 December 2011
Hi,
Yes you can claim, provided the Land in the first case should be a non agricultural Land i.e, it should be a urban land and further it should be a Long term capital Asset.
Section 54 F is clear about it and therefore taking shelter of any case law if any does not arise.
Thanks
Regards
CA. Lohith. J
B.Com,ACA,CS,(ICWA),SAPM Hons,ITF Hons
Yes you can claim, provided the Land in the first case should be a non agricultural Land i.e, it should be a urban land and further it should be a Long term capital Asset.
Section 54 F is clear about it and therefore taking shelter of any case law if any does not arise.
Thanks
Regards
CA. Lohith. J
B.Com,ACA,CS,(ICWA),SAPM Hons,ITF Hons
08 December 2011
Mr.Lohith thanks for your reply, still i am not very clear about it
Section 54F states that assessee have to ,in case of, purchase RESIDENTIAL HOUSE PROPERTY either 1 year before or after 2 years from date of transfer
in case of, construction of residential house property within 3 year after the date of sale.
but my query is if an assessee purchase a LAND, ON WHICH RESIDENTIAL HOUSE PROPERTY IS CONSTRUCTED, AND NOT RESIDENTIAL HOUSE PROPERTY, 1 year before date of transfer of capital asset on which LTCG arises then can the assessee claim exemption u/s54F
Section 54F states that assessee have to ,in case of, purchase RESIDENTIAL HOUSE PROPERTY either 1 year before or after 2 years from date of transfer
in case of, construction of residential house property within 3 year after the date of sale.
but my query is if an assessee purchase a LAND, ON WHICH RESIDENTIAL HOUSE PROPERTY IS CONSTRUCTED, AND NOT RESIDENTIAL HOUSE PROPERTY, 1 year before date of transfer of capital asset on which LTCG arises then can the assessee claim exemption u/s54F
08 December 2011
MR.Lohit thanks for the reply. Still i am not very clear about it
Sec 54F states that a assessee has to, incase of purchase,a RESIDENTIAL HOUSE PROPERTY either 1 year before or 2 year after the date of transfer and incase of construction,within 3 years from the date of transfer
but my query is
can the assessee cliam exemption u/s54F if the assessee purchase a LAND, ON WHICH RESIDENTIAL HOUSE PROPERTY IS CONSTRUCTED, AND NOT RESIDENTIAL HOUSE PROPERTY, 1 year before the actual sale of a capital asset on which LTCG arises.
and the construction of residential house property on such land is to be completed within 3 years from the date sale of capital asset
Kindly reply for my query.
Sec 54F states that a assessee has to, incase of purchase,a RESIDENTIAL HOUSE PROPERTY either 1 year before or 2 year after the date of transfer and incase of construction,within 3 years from the date of transfer
but my query is
can the assessee cliam exemption u/s54F if the assessee purchase a LAND, ON WHICH RESIDENTIAL HOUSE PROPERTY IS CONSTRUCTED, AND NOT RESIDENTIAL HOUSE PROPERTY, 1 year before the actual sale of a capital asset on which LTCG arises.
and the construction of residential house property on such land is to be completed within 3 years from the date sale of capital asset
Kindly reply for my query.
08 December 2011
MR.Lohith thanks for the reply. Still i am not very clear about it
Sec 54F states that a assessee has to, incase of purchase,a RESIDENTIAL HOUSE PROPERTY either 1 year before or 2 year after the date of transfer and incase of construction,within 3 years from the date of transfer
but my query is
can the assessee cliam exemption u/s54F if the assessee purchase a LAND, ON WHICH RESIDENTIAL HOUSE PROPERTY IS CONSTRUCTED, AND NOT RESIDENTIAL HOUSE PROPERTY, 1 year before the actual sale of a capital asset on which LTCG arises.
Sec 54F states that a assessee has to, incase of purchase,a RESIDENTIAL HOUSE PROPERTY either 1 year before or 2 year after the date of transfer and incase of construction,within 3 years from the date of transfer
but my query is
can the assessee cliam exemption u/s54F if the assessee purchase a LAND, ON WHICH RESIDENTIAL HOUSE PROPERTY IS CONSTRUCTED, AND NOT RESIDENTIAL HOUSE PROPERTY, 1 year before the actual sale of a capital asset on which LTCG arises.
08 December 2011
MR.Lohit thanks for the reply. Still i am not very clear about it
Sec 54F states that a assessee has to, incase of purchase,a RESIDENTIAL HOUSE PROPERTY either 1 year before or 2 year after the date of transfer and incase of construction,within 3 years from the date of transfer
but my query is
can the assessee cliam exemption u/s54F if the assessee purchase a LAND, ON WHICH RESIDENTIAL HOUSE PROPERTY IS CONSTRUCTED, AND NOT RESIDENTIAL HOUSE PROPERTY, 1 year before the actual sale of a capital asset on which LTCG arises.
Sec 54F states that a assessee has to, incase of purchase,a RESIDENTIAL HOUSE PROPERTY either 1 year before or 2 year after the date of transfer and incase of construction,within 3 years from the date of transfer
but my query is
can the assessee cliam exemption u/s54F if the assessee purchase a LAND, ON WHICH RESIDENTIAL HOUSE PROPERTY IS CONSTRUCTED, AND NOT RESIDENTIAL HOUSE PROPERTY, 1 year before the actual sale of a capital asset on which LTCG arises.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Accounting treatment of AMC alongwith the purchase of Laptop
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Issuing of delivery challan by seller of goods
- Transfer of Physical Stock Between Two Proprietorship Concerns
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Taxation of crypto futures in India Fy 2026- 2027
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- EPF ECR NEW RULES Sep 17th 2026
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
