Long term capital gain on sale of property

You can save tax u/s 54 EC if you invest the amount of capital gain (not full consideration required to invest) in to NHAI or Rural Electric corp. Ltd. Bonds within 6 months from the date of sale/transfer and keep it invested up to 3 yrs.(sub. to a limit of Rs. 50 Lakhs).

Hi All

If we have 1 crore capital gain 50 lakhs can be invested this FY and another 50 lakhs in next FY

Out of Current 1 crore we have invested only 50 lakhs now, how another 50 lakhs will be treated in current FY fpr tax purposes.

Thanks

Out of capital gain of 1 cr. if you have invested Rs. 50 Lakhs in the bonds then rest amount will be taxable as LTCG  ,you can not claim another 50 lakh as exemption in the next financial year by investing it in the bonds.

Whats the standing of Aspi Ginwala Shree ram Eng & Mfg to current date

In it its allowed 1 crore of exemption

thank you mr.saurabh kumar.  number of properties one is holding  doesn't matter to claim exemption under SEC 54EC  ? 

No not at all.

Whats the standing of Aspi Ginwala Shree ram Eng & Mfg to current date

In it its allowed 1 crore of exemption(Originally posted by ACMA M.Abdul Khaliq)

In that case the sale was after 30 september that is why the assessee got a chance to invest another 50 lakh in the next financial year since the condition was to invest capital gain within 6 months of transfer date.The Act also supported it.

                                                              But there has been an Amendment due to which an assessee is not allowed to invest the another 50 lakhs from the same capital gain in the next financial year even if the capital asset has been transferred after 30 sep.

Kindly see second proviso of sec 54 EC(1)

https://www.incometaxindia.gov.in/_layouts/15/dit/pages/viewer.aspx?grp=act&cname=cmsid&cval=102120000000036966&opt=&isdlg=1

Hello @ Saurabh

Can assessee invest 25 lakhs in current FY & 25 lakhs in next FY .(Is it possible ????) Can he claim exemption in this situation ????

@ Vishal Goel

Yes provided that the sale/transfer of property takes place after 30 sep in a particular year(I mean investment should be within 6 months from the date of transfer)

Originally posted by : saurabh kumar
	Whats the standing of Aspi Ginwala Shree ram Eng & Mfg to current date In it its allowed 1 crore of exemption(Originally posted by ACMA M.Abdul Khaliq)   In that case the sale was after 30 september that is why the assessee got a chance to invest another 50 lakh in the next financial year since the condition was to invest capital gain within 6 months of transfer date.The Act also supported it.                                                               But there has been an Amendment due to which an assessee is not allowed to invest the another 50 lakhs from the same capital gain in the next financial year even if the capital asset has been transferred after 30 sep. Kindly see second proviso of sec 54 EC(1) https://www.incometaxindia.gov.in/_layouts/15/dit/pages/viewer.aspx?grp=act&cname=cmsid&cval=102120000000036966&opt=&isdlg=1

Agree with Saurabh

This amendment will take effect from 1st April, 2015 and will, accordingly, apply in relation to assessment year 2015-16 and subsequent assessment years

Thanks Bro 

Vishal/Saurabh can you people please give any latest case law supporting this.

Thanks