exemption under section 54

Dear Sir,

U have mentioned that Possession of LAND is due in 2010, which was purchased by assessee in 2002.

But Sec 54 requires assessee to purchase /construct a House & acquiring Land alone will not do...

Assesee can construct a House on an existing Land for the purposes of Sec 54. In this case Cost of Land cannot be treated for the purposes of Exemption u/s 54 in views of the Depart circular & couple of HC judgments that in such schemes acquisition is treated at the time when first installment is paid.

So in the present case assesee can construct a House on this land by March 2013 & till that time amount should be deposited ina CGA scheme.