01 February 2014
capital Gain would be taxable. No exemption would be available. However you may claim exemption for residential flat provided there is no other house in your name except new house
01 February 2014
You can claim exemption u/s 54F by purchasing a residential house. You will get 100% deduction if the cost of the new house is not less than the net consideration in respect of the original asset. But if the cost of the new asset is less than the net consideration in respect of the original asset, so much of the capital gain as bears to the whole of the capital gain the same proportion as the cost of the new asset bears to the net consideration, shall be exempt. In short, you will have to invest 100% of sale consideration and not only the capital gain amount to get 100% exemption. Further, you should own maximum one residential house, other than the new asset, on the date of transfer of the original asset.
Otherwise you can go for purchase of Bonds u/s 54EC.
01 February 2014
Yes. To claim full exemption u/s 54 F, you will have to invest full consideration of 12 lakh otherwise you will get proportional exemption. For example if you invest 6 lakh you will get 50% exemption i.e. 4 lakh.
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