Capital Gains set off on Sale of Land if held for less than a year and proceeds reinvested in flat?

Can the gains be set off? No. Because the land was held for less than 24 months, the profit is treated as Short-Term Capital Gain (STCG). Exemption Applicability: Reinvestment benefits under Section 54F apply strictly to Long-Term Capital Gains. There are no provisions to claim an exemption on short-term land profits by purchasing a residential flat. Tax Status: The net profit of ₹80 Lakhs will be fully taxed at the user's regular income tax slab rates, unless they have existing short-term capital losses from other investments to set off against it.