17 April 2012
What will be my capital gain tax exemption, if do have the net sale consideration from a capital asset of Rs.40,00,000/, but I have taken a new house spending Rs.35,00,000/?
I am sure the total of my capital gain(Rs.5,00,000/) received from the sale will not be exempted.
Whether I will be able to claim deduction under section 54F or not ?
20 April 2012
54F says gross consideration to be invested and not the capital gain. As you have not invested the entire gross receipt on sale of the property then the experts are correct and accordingly you will be liable for capital gains.