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Purchasing capital gain bonds

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Bhushan Dronkar

20 Points Posted on 30 May 2023

i had sold a house property and to save capital gain,i have to purchase capital gain bonds.

But the issue is, i had asked every broking firm, banks,post office...but no body is having such bonds.

Can anyone tell me from where i can get these bonds?

Replies (5)

Quick Summary

If you've sold a property and need to invest in Capital Gains Bonds under Section 54EC to save on capital gains tax, you might be finding them hard to source. These bonds, issued by entities like NHAI, REC, PFC, and IRFC, must be purchased within six months of the asset transfer, with a limit of Rs. 50 lakhs. You can often purchase them directly from the issuing companies' websites or through agents and the Stock Holding Corporation of India.

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

20 Points Posted on 30 May 2023

As per the provisions of section 54EC, capital gains arising on the transfer of long-term capital assets shall be exempt provided the following conditions are satisfied:

The asset should be a long-term capital asset, being land, building or both
The capital gains should be invested within 6 months from the date of the transfer of the asset
The amount is invested in specified capital gain bonds of
Rural Electrification Corporation(REC),
National Highway Authority of India(NHAI),
Power Finance Corporation Limited(PFC) or
Indian Railway Finance Corporation Limited(IRFC)
The maximum limit under the section is Rs. 50 lakhs. To conclude, the maximum investment amount cannot exceed Rs. 50 lakhs.