Capital Gains from property sale

Can proceeds from sale of plots (open plots...nothing constructed) be used to purchase a new flat to avoid long term capital gains tax or do i need to buy plots again? I have held these properties for almost 10 years
Replies (4)
Quick Summary
This discussion clarifies how to potentially avoid long-term capital gains tax when selling undeveloped plots held for over 10 years. The consensus is that the proceeds from selling these plots can be used to purchase a new flat, allowing you to claim a deduction under Section 54F of the Income Tax Act. This means you don't necessarily need to buy plots again to qualify for the tax benefit.

See section 54

Your idea of selling plot and then buying new flat will entitle you to claim Deduction under Section 54F in respect of long term capital gain.

Go ahead

Small correction.. you have to claim deduction under 54F
Thank you all

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