Claiming exemption of long term cap. gains tax u/s 54ec

This query is : Resolved

Shiva Arunachalam (Querist)
Follow

13 February 2014 Dear Friends / Respected Sirs / Madam

A Property was sold for a net consideration of Rs.30,00,000. In order to get relief from LTCG U/S 54EC of the Income Tax Act;

1. Whether the whole of the sale proceeds is to be invested in bonds of NHAI, NABARD, REC etc.. ? Or

2. Whether the Taxable Income Portion of the sale proceeds attracting LTCG alone is to be invested ???

Kindly advice me on the implications and applicability.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
Follow

13 February 2014 Amount of Long Term Capital Gains is to be invested in the Capital Gain Bonds.

Message likes : 1 times

Shiva Arunachalam

Shiva Arunachalam (Querist)
Follow

13 February 2014 Thanks a Lot for the Info Sir ...

Upgrade to CAclubindia Pro. Subscribe Now!

Shiva Arunachalam

Shiva Arunachalam (Querist)
Follow

13 February 2014 A Property was sold. In order to get relief from LTCG U/S 54EC of the Income Tax Act;

1. Whether the sale consideration is to be invested in bonds of NHAI, NABARD, REC etc.. ? Or

2. The Differential amount between land acquisition cost and indexation cost (sale consideration) is to be invested ???

Kindly advice me on the implications and applicability.