54F for under construction property before sale of original capital asset

Hello, i am aware of 54F conditions . 

I have purchased a residential flat which is under construction on 25 nov 2021. And my capital asset sell date is 28 dec 2021.

By the definition it states. Should purchase a residential house 1 year before or 2 year after or construction after 3 year sale of original asset. 

In my case i become eligible for 1st clause which is 1 year before purchase of residential flat but main problem is possession of flat which is in 2024. Although AGGREEMENT to sale which is registry has happened on 25th nov itself on index 2 it is showing same date. But it is under construction flat. 

Am I still eligibility for exemption u s 54f? 

 

Replies (4)
Quick Summary
This discussion explores eligibility for Section 54F capital gains tax exemption when purchasing an under-construction property. The user sold their original asset on 28th December 2021 and purchased a new residential flat on 25th November 2021, with possession due in 2024. The key question is whether the purchase date, despite the property being under construction, meets the Section 54F criteria. The consensus is that payments made after the sale date, including those towards construction, are eligible for exemption.

Around 80% of flat cost has been given by 31st March 2022 date. 

Possession is not the factor as per agreement can u stay within the stipulated time. If not arrange and modulate with the lawyer?
Originally posted by : sabyasachi mukherjee
Possession is not the factor as per agreement can u stay within the stipulated time. If not arrange and modulate with the lawyer?

Sorry I did not get you. Is it related to income tax act or are you suggesting to ammend the  AGGREEMENT with the builder with the help of lawyer ?

Yes, you are eligible for the payments made by all the installments after the sale  i.e 28th Dec. 2021, including any amount deposited in CGAS 1988 account for future installments.

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