Deduction u/s. 54 of Income Tax Act, 1961

hi Pradip

as per income tax act new property shall b purchased wiht in 2 yrs from the date of sale of old one.

here it is not given that it should b in sellers name so as per ur problem Mrs can pur, new property in her name or in joint wid Mr. X or exclusively in name of Mr. X

Dear Pradip,

To get exemption u/s 54, the Res house has to be purchased by Mrs.X who is the owner either singly or jointly.... Since she is the owner of the selling propety, she has to invest in another Res. house to claim exemption... Mr.X is not the owner now...  If she purchases the Res house as a co owner, only the relevant portion will be allowed as exemption... To claim entire exemption, she has to purchase the Res house in her own name....

The Cost of Acquisiton relates back to the cost at which the Previous owner acquired the Property.