capital gains exemption

Yes, section 54 of the Income tax allows you to claim the deduction by applying the capital gain to acquire a residential property within one year before the date of transfer of the current house.

For  eg. This means if you have bought one house on 15.04.2009, and sell another house on 14.04.2010, you can claim exemption.

Do you want a technical explanation?

if u purchase fiat not more then one year ago then you sold ur old property then u clame exsamption