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

Tax queries 282 views 4 replies

KALPESH JOSHI

215 Points Joined October 2021

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)

KALPESH JOSHI

215 Points Joined October 2021

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

sabyasachi mukherjee

Profession Business

28196 Points Joined May 2017

Possession is not the factor as per agreement can u stay within the stipulated time. If not arrange and modulate with the lawyer?

KALPESH JOSHI

215 Points Joined October 2021

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 ?

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

211486 Points Joined July 2016

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.