CG deposit scheme

This discussion clarifies the tax treatment of funds left in the Capital Gains (CG) Deposit Scheme after the stipulated 2 or 3-year period for property purchase or construction. It confirms that any interest earned on the deposit is taxable in the year it's due and credited to your account, typically as income from other sources. Furthermore, the remaining principal amount might also be subject to capital gains tax at the rate applicable if exemption wasn't claimed in the original year.