Vijay Thakkar (Partner) (34 Points)
12 November 2014Assessee has sold his Residential property acquired by will during F. Y. 2013-14.
He has acquired 2 flats at different places out of sale proceeds of above.
Whether cost incurred for acquiring two flats will qualify for exemption/deduction u/s. 54 or cost incurred for any one out of 2 flats will qualify?
CA Santosh Kumar Eligeti
(Partner)
(151 Points)
Replied 12 November 2014
As per my knowledge...
If assessee can proove that both the flats are adjacent and he can make necessary modifications to make it one residential property. He can avail excemption for the both the flats...
If both flats are individual, he can avail for any one of the property at his option.
Vijay Thakkar
(Partner)
(34 Points)
Replied 12 November 2014
Vijay Thakkar
(Partner)
(34 Points)
Replied 12 November 2014
Mihir
(Wealth Manager)
(5293 Points)
Replied 12 November 2014
In this budget, it is decided that exemption u/s 54 can be claimed on purchase of only one property from the sale.
CAclubindia
