Clarification on Section 54
This query is : Open
24 June 2011
Dear All
U/s 54 assessee gets exemption if he purchases any residential house 1 year before or 2 year after or if he construct a house within 3 years from the date of transfer. But it is nowhere specified that on whose land the the construction is to be done or whether or not cost of land will be included in the cost of construction or not.
Thanks
U/s 54 assessee gets exemption if he purchases any residential house 1 year before or 2 year after or if he construct a house within 3 years from the date of transfer. But it is nowhere specified that on whose land the the construction is to be done or whether or not cost of land will be included in the cost of construction or not.
Thanks
27 June 2011
The land may be of any one but you must be assured that legally you have been permitted or entitled to do so .
*
Suppose father has granted you permission to construct 2nd floor, on his roof of the First floor, you can construct there and get exemption.
*
It is not possible to construct
a house in the space or in air. A space on earth is required to build it.
As such I opine that cost of land is also included with the construction cost for the exemption purpose.
*
Suppose father has granted you permission to construct 2nd floor, on his roof of the First floor, you can construct there and get exemption.
*
It is not possible to construct
a house in the space or in air. A space on earth is required to build it.
As such I opine that cost of land is also included with the construction cost for the exemption purpose.
27 June 2011
Thanks u Paras.
And 1 more thing If the land is purchased 6 months before the date of sale of 2 years before the sale will the exemption b available in any of the case.
And 1 more thing If the land is purchased 6 months before the date of sale of 2 years before the sale will the exemption b available in any of the case.
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