Sec-54

This query is : Resolved

rohit (Querist)
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02 February 2013 A PERSON WANTS TO SELL A PART OF HIS PLOT,FOR EXAMPLE FOR 15 LACS AND WANT TO USE IT FOR CONSTRUCTION OF HOUSE ON REMAINING PART OF SAME PLOT,IS THERE ANY TAX LIABILITY ON 15 LAC AMOUNT?

IF HE USE THIS 15 LAC FOR REPAYMENT OF LOAN WHICH HE HAS TAKEN FOR CONSTRUCTION OF A ROOM IN HE IS CURRENTLY STAYING?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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02 February 2013 Capital Gains in respect of the portion sold has to be calculated and can be shown as the sales consideration has been duly invested for the purpose of construction of the residential house.
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In case of utilisation court's have opined that the same money is not required to be invested, so repayment of the loan, which had been utilised for construction purpose and taken within one year from the transfer of plot, can be said to be eligible for exemption.
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rohit

rohit (Querist)
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02 February 2013 SIR, IN ABOVE CASE IF HE SELLS A PART OF PLOT
AND USES SALES CONSIDERATION FOR THE CONSTRUCTION OF ROOM , THEN

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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02 February 2013 The assessee should not more than one residential house.
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Exemption can be claimed U/s 54F.
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rohit

rohit (Querist)
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02 February 2013 ONE PLOT IS IN HARAYANA AND HOUSE IN WHICH HE IS STAYING AND WANT TO CONSTRUCT ROOM IS IN RAJASTHAN,
IS THERE ANY DIFFERENCE BETWEEN PLOT, PIECE OF LAND AND RESIDENTIAL HOUSE PROPERTY

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