11 September 2009
I have LTCG Current Yr. If I book a flat under construction today by paying an advance and balance is payable over a period of two yrs then on completion possession will be given. Will I be able to get exemption from long term capital gain?
11 September 2009
As per sec 54 and sec 54F assess can avail exemption under capital gain by investing in residential properties. The exemption could be claimed only if the new asset is purchased within one year befor or TWO year after the date of transfer of original asset OR within 3 year from the date of transfer of original asset assesse construct the new property. So if you want to purchase it should be done in 2 years from transfer of original asset. Other thing is if the capital gain should be deposited in Capital gain account scheme bfore filing of return.
CAclubindia
