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Capital gain scheme related

Venkatesh L (Proprietor) (87 Points)

24 July 2018

Plot (Vacant Land) at Vijayawada (City)

1. purchased for Rs 70000 as 24-02-2005

2. Sold for 2485000 as on 12-10-2017.

2A. Purchased land at Guntur for Rs1350000 as 21-12-2017

3. Money Deposited in to savings bank account as 12-10-2017

What are the tax planning options like purchase of any other building or plot or agriculture land.

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3 Replies

CA Sunil Kumar (Chartered Accountant) (4519 Points)
Replied 24 July 2018

Section 54F: Entire sale consideration and not only capital gain should be invested to buy a new residential house property .

Section 54EC you can save the tax on your capital gains, by investing them in certain bonds. Bonds issued by the National Highway Authority of India (NHAI) or Rural Electrification Corporation (REC)

If capital gains have not been invested until the date of filing of return (usually 31st July) of the financial year in which the property is sold, the gains can be deposited in capital gains account scheme.