LTCG

Tax queries 615 views 5 replies

If assesee have his own residence house. and one office which is closed from long time. now he sold that office. from that he earns LTCG of approx 20 lacs. he is planning to do the investment in house propery.

do he get the deduction.....??

Replies (5)

He can get deduction under section 54 F
 

You can avail exemption U/s 54F, subject to fulfillment of the following conditions:-

 

(i) The transferor assessee should purchase or a residential house in India within a period of one year before or two years from the date of transfer or construct a residential house within three years from the date of the transfer of the original house. (Construction must be completed within these 3 years.), and


(ii) The new house property purchased or constructed has not been transferred within a period of three years from the date of purchase or construction. 

Dear all,

how it will get deduction under section 54F.

As per my knowledge there is one condition under section 54F which is as follows:-

if on the date of transfer of the LongTerm Capital Asset, the Asessee should not own more than one Residential House Property, for claiming deduction under section 54F.

I think Section 54 could be applicable as well. When assessee does not use the office for his business or profession then that becomes a residential property as well chargeable under the head house property.

Please correct me if i am wrong.

yes Mr. Ashish Gupta,

if self occupied property kept vacant than as per sec.23&24. It comes under the head Income from House property. 

you are right sir.


CCI Pro

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