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Exemption U/s 54

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pradnya (Querist)
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26 July 2020 I have sold my house property on 29 march 2019 for 75,00,000 /-
I have invested in under-construction property agreement date was 02nd March 2018. Agreement value was 120,00,000/- Possession not yet recd till date.
For filing return of AY 19-20 - Can I claim exemption u/s 54 even though the agreement date is older than 1 year as it is under construction property.

VIJAY KUMAR

VIJAY KUMAR (Expert)
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27 July 2020 No, property should be purchased before 1 year or after 2 years from the date of transfer of the property sold. Period for buying should be from 30.03.2018 to 28.03.2021. Since agreement is dated 02.03.2018, it does not fall in the above mentioned period. However Bombay High court has made letter of allotment a relevant date for holding period, just check that if it falls in the above mentioned date window.

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