if i have deposited money in capital gain deposit ac then how can i free that money ? bank will first deduct my tax liability and repay balance or i need to first pay tax from my pocket and then free whole money.
First you have to pay your capital gain tax arising from the capital gains from your pocket.
Then CG account balance used for re-investing in buying properties or for other investments as per Capital Gains act.
You can withdraw the balance as per the procedure.
As mentioned there are no restrictions on withdrawal from Type A – savings account. While premature withdrawal from Type B account is allowed, it is allowed only after transferring the amount to Type A account and there may also be consequential penalty. Any amount withdrawn is required to be utilised for specified investment within 60 days of withdrawal and any unutilised amount may be re-deposited to Type A account immediately. Form C shall be submitted for withdrawal from an account for the first time and Form D for subsequent withdrawal providing details of the manner of utilisation of money withdrawn earlier. Hence, no chequebook or debit card is issued to the depositor.
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