If the assessee sold a residential house and entered into a agreement for construction of residential house and the agreement states that the construction will be completed in 5 years and invested the entire sale proceeds within three years from the date of transfer in the construction of a residential house,
Then can he claim exemption u/s 54,
though the entire sale proceeds is invested within 3 years from date of transfer but construction will be completed after 3 years from date of transfer?
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Exemption u/s 54
Replies (2)
No, an assessee can not claim such exemption as law stated that construction must be completed with in three years from date of transfer of old status..
But as per the judgement of ITAT in Seema Sabharwal vs. ITO (ITAT Chandigarh) assessee can claim ?
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