LTCG related queries u/s 54F

This query is : Resolved

Ashish Jain (Querist)
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24 October 2023 I've a couple of queries around LTCG u/s 54F.

1. Can I keep non-LTCG funds as well in capital gain accounts? I want to do this so that the corpus to buy a home stays in one place.
2. My mother wants to transfer me shares w/o consideration as a gift so that I can buy a home.
2.a. Will LTCG be exempted when I sell these shares?
2.b. Should I expect any notices if I try to seek LTCG u/s 54F in this case?
2.c. Can I be denied the LTCG exemption because of any reason in the above mentioned case?
4. Do I need to get any clearance from assessing officer when I close my capital gain account? If so, how to get it done?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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25 October 2023 1 Keep it in other deposit in the same bank. Documents required for release form capital gains account.
2a Not exempt.
2b No notice.
2c It can't be denied.
4 Not required. Show purchase agreement to the bankers.

Ashish Jain

Ashish Jain (Querist)
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25 October 2023 2a. Why not exempt? I am using the LTCG from the gifted shares to buy a home. u/s 54F, exemption should be allowed. No?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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25 October 2023 Yes you are right.....

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