I sold a flat in Dec 2010 and had deposited the gains (10 lacs) in Capital Gain Account in March 2011. Prior to this I had purchased a flat in an under construction apartment in June 2008 and was paying the installments on my own. Now I have to pay the final installment and other costs like stamp duty, taxes, etc (all put together 6 lacs) before I get the possession.
My first query is that can I withdraw this amount (6 lacs) from the Capital gain account and pay tax for the balance amount. Second query would be if I can use the balance amount against the installments that I have already paid to the builder. Please note that the last installement paid to the builder was in Jan 2010 (before the capital gain thing happened).
Thanks in advance.
Ravi