LTCG exemptionss...

Please mention the jurisdiction of the abovevtransaction.

This has taken place abroad.

So Indian income tax act is not applicable.

Indian Karnataka 

It's in Karnataka.

If my capital gain is (34 lakh -28lakh)₹6 lakh 

Whether i can reinvest only ₹6lalkh under section 54 and use balance amt for other purposes 

Which balance amount, you are suppose to use for other purposes?,( because entire Capital Gain is  6 lacs )  please elaborate your  query in detail  . 

Yes .

Sale consideration.                           ₹ 34lakhs

(-)Cost of acq.[1990].without index ₹ 1lakh

(-) Cost of improvement(building construction cost on selling prop.) ₹27lakh

Therefore, total captain gain          = ₹6 lakh

(-) Section 54 exemption.                 ₹6lakhs

                              Therefore net cg = nil

So only 6lakh in have to reinvest on residential property?

yes. you need to reinvest the capital gains portion only. Please ensure that you have aportioned only 25%of the cost of land to this transaction.

Actually we will reinvest more...more than 6 lakh can we use for other purposes???

Section 54F does not ordinarily restrict the exemption to one claim in a lifetime. If your original asset is a long-term capital asset other than a residential house, you may claim Section 54F on more than one sale, provided each transfer independently meets its conditions—including investing the net consideration in one residential house in India within the prescribed time. The exemption is proportionate if you invest only part of the net consideration.

The key issue is what you are selling. If the 40 cents is converted into plots and sold as a layout, the character of the land, holding period, development activity and whether the sales are treated as capital gains or business income need examination. Also, Section 54F requires investment in one residential house; buying or constructing multiple houses does not automatically qualify. A building sold with land may affect whether the asset qualifies, and Section 54F has a restriction where you own more than one other residential house on the transfer date. So selling the remaining plots in separate transactions does not by itself establish eligibility; assess each transfer and investment separately.

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