Income tax and ltcg account with sbi

Dear,

I sold my Flat in 30 lakhs on 19-07-2016 

I deposited this 30 lakhs in LTCG A/C WITH SBI ON 30-03-2017

I bought a new flat and register it on 26-11-2018 

I made a payment out of above LTCG A/C WITH SBI, Rs 32.5 lakhs to builder

When I approached to ITO for closing of my above account, they send a letter to me saying that I have not purchased new flat in 2 years so asking me to pay Tax on capital gain and submit proof.

I was under the impression that I have to invest within 2 years from deposits with bank, ITO letter say 2 years fro sale of my old flat.

Please advice me what I have to do?

If I require to pay tax then how to show in my current year ITR-2

Replies (2)

ITO is correct, if you had purchased ready made flat.

But, it its under construction, you are saved by 1 more year!!! 

For under-construction flat the time period allowed is 3 years from the date of original flat sell/transfer.

Thanks for your reply.
I had purchased a new ready flat.
Now please advise how to pay tax and can I add this LTCG in my current year ITR-2
Thanks
Ashok Agarwal
9820450810

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