I have a capital gain account under capital gain scheme 1988 opened in July 2013. It was opened to save the tax on capital gains had by sale of a residential plot, and was supposed to be closed in July 2016 i.e. after expiry of 3 years. I will not able to use any money from this account to purchase / construct any new property for exemption under section 54.
Now I have to pay the advance tax on 15th June 2016 on the capital gain accrues because of non-utilisation of the sale proceeds for purchase or construction of a new house. I don’t have money to pay the advance tax, so I want to pay the tax from the amount invested in capital gain account under capital gain scheme 1988.
I have approached my assessing officer at ITO for his clearance on form G, but he don’t sign saying that I have to clear my taxes first. As taxes are high, I am not in position to arrange that amount. I had requested bank to deduct money from my capital gain account, but they refused and asked clearance from the income tax department first. How should I proceed for paying taxes?
Thanks in advance !!!!!
Please reply ASAP
CAclubindia
