Exemption u/s 54

Tax planning 426 views 3 replies

Hello,

I have sold 2 residential house property in india, the capital gain from the 1st property is 15,00,000 and the 2nd property is 10,00,000. I have purchased one House property worth of 75,00,000. Now my question is can I claim the HP purchased for 75L against these two capital gains u/s 54?

 

Replies (3)

The language of the Income-tax Act is not much clear on the topic and doesn't provide explicitly for this. It has been given under the section that the sales proceeds cannot be invested in more than one house. However, it has not been given that whether sales of more than one houses can be invested into one single house, to get the exemption under section 54.

However, there have been a few case laws in this regards wherein, the decision has been in favor of the assessee by the courts.

Yes. The limit of One residential property is on purchased one and not on the sold one.

Thank you for your reply, What if I sell 2 houses, do i get buy 2 different houses and claim exemption u/s 54 respectively for the houses that i had sold?

(I hope my question is clear, if not pls let me know ill ask by the way of an example)


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 14 March 2026
Associate CA

N N V Satish&co

Hyderabad

CA

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 12 March 2026
Customer Relationship Executive

TAXLET

Calicut

B.Com

View Details
Company
Featured 14 March 2026
Article Trainee

N N V Satish&co

Hyderabad

CA Inter

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 19 March 2026
Article Assistant

Gupta Sachdeva & Co. Chartered Accountants

New Delhi

CA Final

View Details