05 September 2012
I have got 23.00 lacs out of my share in the ancestral(father's name) property being sold in the year 2012-13. i m a government servant and have no other income besides my salary for which TDS is being paid directly by my employer. Also the above mentioned ancestral property was old one purchased by my father in 1980 and after he expired in December 2011, the legal heirs including myself being the nominees inherited the same in the year 2012-13 and subsequently sold off the same in 2012-13 itself. further i have invested the whole amount in purchasing a new house for myself.Kindly guide me whether the gains arising from this sale is eligible for the exemption under section 54 even though my holding period in the said property was less than the mandatory 03 years. if exemption cannot be claimed due to less holding period, then under what section can i claim exemption for the gains.
05 September 2012
Since the property is inherited by you, the period of holding is from 1980 and not from the sad demise of your father. The gain is long term and you can very take the benefit of section 54. (Investing in new house property)
CAclubindia
