What is date of transfer for investment in 54ec ltcg bonds?

My aunt sold a vacant plot of land and wishes to invest Rs.50 lakhs in LTCG tax saving bonds of REC & NHAI. She received the token amount of Rs. 5 lakhs on 16th May 2012. An "Agreement for Sale" was entered into on 22nd May 2012, wherein it was mentioned that the balance amount of Rs.90 lakhs will be given to my aunt within 31st July,2012. The "Sale Deed" was finally entered into on 25th July 2012. This document was registered with the Sub-Registrar after payment of the necessary stamp duty. The balance amount of money was also received by my aunt around this date. I wish to know what is the actual date of transfer within 6 months of which investment has to be made in 54EC LTCG tax saving bonds to save tax.

In these cases, two dates are important.

Date of execution of contract & Date of its registration with sub-registrar.

When date of exection doesn't coincide with the date of registration, then as and when the executed deed is registered, it will be effective from the date of execution.

A document on subsequent regisration will take effect from the time when it was executed and not from the time of its registration [Alapati Venkataramiah V. CIT [1965] 57 ITR 185 (SC)]

In your case, since the date of regisration is not mentioned, but date of execution is (25th July'12), and in any case, on registration, the contract is effective from date of execution. Hence, the period of 6 months starts from the date of execution of the contract.

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Ashish

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