Hello Experts,
I received a demand notice yesterday from the It dept.Last year i sold my old house and bought a new resendital property using the proceeds. I used ITR2 and put in this information and also claimed excemption of capital gains under Sec 54.The demand notice still shows the capital gain amount under 'Heads of Income'. In one the annexures the excemption is also shown and total long term capital gain is shown as zero but the net payable shows the tax on capital gain and the intrest amount. Please suggest
[UPDATE 12 may 2014] - I was going through my ITR 2 when i realised that the software which generated my ITR2 had mentioned both my house names (old , sold off and new one) under 'Income from House property' and my new property was marked as 'Let out' . Is this the reason that the IT department thinks that I have more than 1 residential property and therefore cannot claim capital gain exception under sec 54. In my case do i need to mention anything under ' Income from House property'. ?
CAclubindia
