Benefits u/s 54f

When was the agreement registered?

What amount you paid in FY 2020-21?

Hi sir

Thanks for your response.

The agreement was registered on 21/03/2021.

The final payment of Rs.60 lakh was made on 22/08/2020.  Total cost of the flat is Rs.2.42 crore.

Sold a long term asset on 12/01/2021 with a consideration of Rs.1.67 crore (long term capital gain is Rs.81 lakh)

Hope these information are helpful.

Regards

Jerry

All the payments from 13/01/2020 to 21/03/2021 for the purchase of new house property will be eligible for deduction.

Dear sir,

Thanks for your instant reply.

The Act says, if the consideration from the transfer of capital asset has been reinvested to purchase a house property before 1 year or after 2 years of transfer of the capital asset, the assessee is eligible for exemption u/s 54F.

In my case, the registration of the new flat was completed after receipt of sale proceeds from the transfer of the capital asset.

In this scenario, I am eligible for the benefits u/s54f as the purchase of the new house has happened within 2 years from the date of transfer of the capital asset.

If my understanding is wrong, please excuse me

Regards,

Jerry

No, not wrong; and I have not denied the exemption u/s. 54F.

Only the amount that is available for deduction is limited to the payment made in last one year.

Thank you sir for your response.