Dear Sir,
One of my friends (individual) has earned some capital gain by selling a Commercial Unit during December, 2017. He held the Commercial Unit for about four-five years before selling it. He has already invested the amount in a Residential Flat, which included both the capital he invested in the commercial unit as well as the capital gain he earned.
Under the above circumstances:
- Is he eligible to set off the capital gain he earned from the above sale by investing in a residential property?
- Since he has held the commercial unit for more than four years, does it come under Long-term Capital Gain?
- Or, if the above does not work, is there any other way to save tax on capital gain on sale of Commercial Unit?
Request you to clear all the above three doubts.
Best Regards,
P M Suresh
CAclubindia
