21 November 2013
X had sold a flat in A.Y 08-09.he had capital gain of Rs 80000. This amount was deposited in a Capital gain account. He neither used it nor has withdrawn it from the account.For A.Y 2011-12 he did not had any income.Can he claim 80000 as exempt income now.
21 November 2013
The Long term capital gains relates to AY 2008-09. Since the the long term not utilised fully within the time period u/s 54 it will be taxable as LTCG of the PY in which 3 years expires from the date of transfer of original asset , in your case it being AY 2011-12.no exemption is available
Querist :
Anonymous
Querist :
Anonymous
(Querist)
21 November 2013
SIR, Agreed with our explanation, but he does not has any income in 11-12 .so whether sect 112 is applicable for claiming exemption as his income in that a.y is less than the basic tax slab rate.
you are correct. the assessee wont have any tax liability in this case. capital gains deemed under Section 54 etc is not a special income. hence taxability shall arise only if the exemption limit is breached.
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