Long term capital gain exemption u/s 54/54ec of i.t.act.

This query is : Resolved

CA Sanjay Baheti (Querist)
Follow

21 June 2013 One of my client being an individual has owned a Residential Plot purchased in 1985-86. Hence it is long term capital asset.the he sold the same in 2013-14.the Long term capital gain comes to near about Rs.800000/- after taking benefit of indexation.Now to avoid long term capital gain tax @ 20% i.e. Rs.160000/- whether he can invest the entire gain in another residential Plot or invest in other manner under section 54/54EC of I.T.Act & whichever is more beneficial from tax point of view

TKKKKKK

TKKKKKK (Expert)
Follow

21 June 2013 He can invest in house and get benefit of exemption u/s 54. Besides he can also invest in 54EC within a period of 6 months from the date of transfer. Maximum amount he can invest in bonds is 50 lakhs.

CA Sanjay Baheti

CA Sanjay Baheti (Querist)
Follow

21 June 2013 Mr.Khatri,

Thanks for reply.However i had one doubt that if at time of investment in new residential House/Plot the asesse has already owned another residential House (other than new one) then still he can claim deduction under section 54 of I.T.Act or not

CA Sanjay Baheti

CA Sanjay Baheti (Querist)
Follow

TKKKKKK

TKKKKKK (Expert)
Follow

21 June 2013 You can call me Ms khatri. (not mr khatri) anyways, I have not read about any restriction for having another house for claiming deduction u/s 54. This condition is for deduction u/s 54f.

Rupesh Jain

Rupesh Jain (Expert)
Follow

22 June 2013 u/s 54 you can invest in residential house

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

MANOJ DASH

efiletax

Sandeep Ranjan

CA Sunny Sharma

Aayushi Chauhan

Subscribe Now

Long term capital gain exemption u/s 54/54ec of i.t.act.

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA