Alex Jacob (8 Points)
19 January 2022Hi..
Incase of LTCG arising from sale of shares in India, can 54EC and 54F be used simultaneously?
Also while claiming 54F, should the new property be bought with cash(own funds) or can a home loan be used to make the purchase?
Pls clarify if possible.. Thanks..
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(160611 Points)
Replied 19 January 2022
1. Yes, exemption under both sections can be claimed simultaneously.
2. Purchase of property is mandatory, whatever be source of funds.
sabyasachi mukherjee
(26187 Points)
Replied 19 January 2022
Pramod Limaye
(37 Points)
Replied 19 January 2022
54EC is not available in case of sale of shares. It has to be sale of Land or Building or both.
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(160611 Points)
Replied 19 January 2022
Yes, I agree. Had missed the sell of Shares, considered it as any immovable property.
I do agree to rectify the statement to that effect...
Aarti Maurya
(Student)
(3053 Points)
Replied 19 January 2022
Yes,both exemption can be claimed.
In case of sec 54EC asset transferred must be a land or building and new asset acquired should be long term asset redeemable after 5 years by NHAI or RECL or any bond notified by government.
In case of 54F new asset acquired must be a residential house property in india.
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(160611 Points)
Replied 22 January 2022
Being LTCG from sales of shares, Exemption u/s. 54F can only be availed, but not exemption u/s. 54EC.
CAclubindia
