Long term capital exemption query

Yes, u/s 54F, provided assessee fulfills below mentioned conditions :

1.Gain is Long term

2.Land sold is not Agricultural Land

3.Assessee purchase ONE house within 1 yr before the date of transfer or 2 yrs after or construct ONE house within 3 yrs after the date of transfer.

4.Assessee do not sell this house within 3 yrs of purchase or construction

5.This new house purchased or constructed must be situated in India

6.Assessee should not own more than 1 residential house (other than the new one) on the date of transfer

7.Assessee do not purchase within a period of 2 yrs after such date or construct within a period of 3 years after such date any residential house (other than the new one).

When Assessee satisfy these conditions and invest entire sale proceeds towards the new house – he/she won’t pay any tax on  gains. However, if he/she invest a portion of the sale proceeds, the exemption will be the proportion of the invested amount to the sale price or exemption = cost of new house x capital gains/net consideration.

Now check with Assessee if he is having house property more than 1 on the day of purchase and check other conditions too.

If he fulfills all other conditions he will be eligible for exemption under above section as per specified calculation.