capital gains exemption u/s 54F

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an individual has sold a long term capital asset and purchased a residential house property within the time limits prescribed u/s 54F on the name of her daughter due to horoscopic reasons and made a MOU for the same, is exemption u/s 54F available to him???

Replies (3)

Don't know....

 

But i think he would have purchased the house in his name (claimed exemption u/s 54F)... and then transferred in her daughter's name (as such it would not have counted as TRANSFER under capital gains)....

 

 

 

But in this case too, i think the person can get exemption for the same..

Residential house must be in the name of the assessee only - For qualifying for the exemption under section 54F, it is neces­sary and obligatory to have the investment made in residential house in the name of the assessee only. Thus, investment of sale proceeds of agricultural land by the assessee in purchasing plot and constructing residential house thereon in name of his only adopted son would not qualify for exemption under section 54F - Prakash v. ITO [2008] 173 Taxman 311 (Bom.).

 

https://www.thehindu.com/biz/2008/12/29/stories/2008122950061300.htm

Stuti Agarwal

House should be purchased in the name of the assessee who sold the LTCA and not on his daughter's name to claim exemption u/s 54F...

One more suggestion - House can be purchased in the name of the assessee along with his daughter as a co-owner to get the exemption...

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