10 April 2013
in case of investment under bonds of sec.54 EC of Income Tax under capital gains, what happens if the money is withdrawn after 3 years (lock in period)... then what is the tax liability....????
30 May 2013
Sorry expert you have gone in a different direction. The investment in bond is not traded in the open market or in stock exchange and hence no Capital Gain as you are receiving interest and the interest paid half yearly attract income from other sources on which no TDS is deducted. Therefore after lock in period the amount as received is not at all taxable. Hence the question of capital gain will not arise and again the question of indexation is not applicable.
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