REGARDING CAPITAL GAIN EXEMPTION

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It is possible to claim an exemption under Section 54B for capital gains even if your tax return is filed after the due date. The key condition is that the capital gain amount must have been deposited into a Capital Gains Accounts Scheme (CGAS), 1988 account before you file your return. As long as this deposit is made by the original due date for filing your return, submitting the return late should not prevent you from claiming the exemption, provided all other requirements are met.

Suresh S. Tejwani

Suresh S. Tejwani (Querist)
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31 July 2022 Can assessee claim exemption u/s 54b for capital gain even after filing his return after due date ?

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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01 August 2022 Yes, provided he had deposited the amount in CGAS, 1988 acc. before filing return.

Adv. Ravish Bhatt, ADIT, CIOT

Adv. Ravish Bhatt, ADIT, CIOT (Expert)
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01 August 2022 What seems important in terms of s.54B(2) is the deposit of amount of capital gain that is not utilized by the assessee for the purchase of the new asset, in a specified bank account. Such deposit appears to be required to be made latest by the due date applicable for furnishing the return of income u/s.139(1).
I think, once the deposit is made in due time, furnishing the return at a later date would not disentitle an assessee from claiming exemption subject to satisfaction of other conditions.

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