Long term capital gain sale amount used

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ramanamma (Querist)
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11 January 2014 Sale of fixed assets (residential plot) that amount is deposited in normal account( his bank account) not in a specified account and new building is purchased with in the time the transactions also done with normal account (his bank account).

is any problem if the amount received through sale of capital asset not deposited in any other specified scheme or account

is any case laws relating to that transactions please provide
Thanks

Nikhil Kaushik

Nikhil Kaushik (Expert)
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11 January 2014 the important question is when did you file the return and as on that date what was the status of capital gains? were they already used up for investment or not.

If the return was filed in time and the funds were not utilized, then exemption can be denied...

However, if you didnt file the return in time and filed it only after the new building was purchased, then exemption cannot be denied.

please refer Nipun Mehrotra v. ACIT, 110 ITD 520.

CIT v. Rajesh Kumar Jalan, 286 ITR 274

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ramanamma

ramanamma (Querist)
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16 January 2014 The return was filed within due date and the amount is already used for purchase before filing of due date.

but both the transaction are done by his personal account .
is there any problem by using personal account.

Thanks

Nikhil Kaushik

Nikhil Kaushik (Expert)
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16 January 2014 No issues whatsoever. Relax in peace

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