I own a house and an apartment. I am now selling a plot of land. I want to transfer my apartment to my wife as a gift before selling the plot, so that I can invest the sale proceeds of the plot in another apartment or house to get exemption under section 54F. Is it allowed under income tax rules? Section 27 applies only to income from gifted property.
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Capital gains exemption under section 54f after gifting hous
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Capital gains exemption is available only one property, already you own one house and Apartments, if you transfer Apartment still you own one house, do you are not eligible for exemption for investment in Apartment, Better invest in Capital Gain bond max 50 lakhs locking period 3 years, if you withdraw after 3 years is exempt from tax.
Capital gains exemption is available only one property, already you own one house and Apartments, if you transfer Apartment still you own one house, do you are not eligible for exemption for investment in Apartment, Better invest in Capital Gain bond max 50 lakhs locking period 3 years, if you withdraw after 3 years is exempt from tax.
Capital Gains exemption is available under Section 54F if you are investing in a house, and have only on house. That is why if the part end is gifted to wife, only one house is owned and capital gains exemption should be available. Please check the income tax rules and clarify
It is a good idea.You can avail exemption u/s 54F, since sec 27 applies for income from house property only (sec 22 to 26).No need to worry.There are several cases in favour of assessee regarding that.Kindly follow the link for more details.
https://voiceofca.in/siteadmin/document/27_04_15_Case2.pdf
Any long term capital asset other than house property is transfererd than benefit of section 54F is availibale only if Assessee owns not more than ONE other house property on the date of transfer (excluding new house) exempt if invested in ONE Residential House IN India within the time limits specified in Section 54.
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