I sold my Flat in Aug 2011 & Gain from this is Long Term . I bought (in resale ) under construction flat in Oct 2011 & agreed possession in builder buyer agreement is Sept 2012 . My question is if possession is delayed beyond July 2014 ( that is 3 years after sale of old flat ) than what will be my liability ?
21 July 2012
Dear Friend, according to the provisions of Income Tax Act, 1961 you have to invest the capital gain in residential house property within a period of three years from the date of realisation of capital gain.If possession of property is delayed then you have to pay LTCG Tax on capital gain gained from sale of property. Thanks
21 July 2012
I will reinvest all capital Gain within 3 years of sale of old flat but possession of flat will not happen within this time frame ... Please advise .
CAclubindia
