as per section 54  you can purchase house 1 year before the tranfer

or 2 year after the transfer or construction with in 3 year for getting exemption benifit

as per Section 54 an exemption can be claimed of the LTCG arriving on sale of a residential house property.

to claim the exemption a house property shall be purchased one yr before or within 2 yrs after the transfer of original HP. Amt of exemption will be:

i)if LTCG is less then or equal to the Cost of new HP-Entire LTCG will be exempt

ii)if LTCG is higher than cost of new HP-difference between LTCG & cost of new house will be chargeable to tax as LTCG

NEw hp should not be transferred within a period of 3yrs frm the date of purchase.

Originally posted by : vikasgupta
	as per section 54  you can purchase house 1 year before the tranfer or 2 year after the transfer or construction with in 3 year for getting exemption benifit

cheers