Capital Gain exemption on Tenancy Rights

This query is : Resolved

CA Manisha More (Querist)
Follow

13 June 2011 Can assessee claim exemption u/s 54F on capital gain on sale of Tenancy Rights? Is there available exemption under any other section if the assessee already has 2 flats?
Please reply.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
Follow

13 June 2011 Tenancy right is treated as a capital asset
and the capital gain arising from transfer
of tenancy right can be invested in the bonds of NHAI, REC and NABARD Capital Gain Bonds U/s 54EC. The investment has to be made within 6 months from the date of transfer of original asset. Max Upto Rs 50.00
lac exemption can be claimed in a financial year.

Message likes : 2 times

CA Manisha More

CA Manisha More (Querist)
Follow

14 June 2011 Thank you sir

Upgrade to CAclubindia Pro. Subscribe Now!