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Capital gain exemption

Tax planning 272 views 3 replies

Dear all,

House property Sold on 01/01/2016 - CAptial Gains = 2700000/-

Want to Claim Exemption by investing in CAPITAL GAIN ACCOUNT SCHEME because going to purchase Flat in 1 Year.

Time Limit for Deposit is before the corresponding Due Date Of Filing the Return Of Income.

Due date has gone and didnt file return yet.

Please guide me how to do what to do for exemption.

Replies (3)

you can delay filing return and Return for FY 2015-16 can be filed till 31 march 2018

facts of a case

"The Co-ordinate Bench of the Tribunal in the case of Nipun Mehrotra  held that if the sale consideration/capital gains is utilized for the purchase or construction of the new asset before the date of filing the return under section 139(4), the assessee is entitled to exemption under section 54F. In the case on hand, the facts clearly establish that the assessee has utilized the sale consideration/capital gains for purchase of a residential site on 3-4-2008 and for cost of construction of the residential building upto 31-3-2010. In this factual matrix, the assessee is eligible for exemption under section 54F."

Dear Shubham, 

So I can conclude on your above explanation and reference that I will wait till 31st March  2018 untill my Client purchase the house then once he purchases the flat i can file belated return and also claim exemption . 

but suppose i would like to file their return of income today irrespective of the fact that they will buy the flat in coming months. would like to know i want to claim deduction or exemption of the Captial gain amount which is 2700,000/-

I hope you are getting whats going on in my mind

If you want to file the return you need to deposit the amount of capital gains in Capital Gain Scheme account, otherwise you can not claim the exemption.


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