neelesh (article) (78 Points)
15 July 2013I had sold a agriculture land on 31st march 2013, and i want to avail exemption u/s 54B i.e to purchase agriculture land.
But the problem is that I will receive money after 31st july 2013. and as per provision of 54B i need to invest money either for purchase of agriculture land or deposit money in capital gain account scheme within 31st july.
So I dont have money right now to invest or deposit in scheme, so suggest me the way
vikas
(student )
(139 Points)
Replied 15 July 2013
One such exemption mentioned under section 54B is that the assessee can invest the long term capital gain earned by him during the previous year can be invested in a agricultural rural land i.e. the assessee can purchase an agricultural rural land from the amount of capital gain earned by him within a period of 2 years or if he is unable to do so he can also deposit the amount in Capital Gains Account Scheme (CGAS) within six months of the end of the previous year. The amount so deposited has to be used for the aforesaid purpose within the stipulated time period otherwise it would be treated as long term capital gain and will be taxed accordingly. The other condition to be satisfied to avail this exemption is that the land so purchased from the capital gains must be retained at least for a period of 3 years and if it is sold by the assessee before that the capital gain arising from the sale of the asset will be calculated by considering the cost of acquisition of such asset as nil or the other treatment is that the new asset is taxed in a normal manner and the previously exempt capital gain is taxed subsequently in the current previous year. therefor
u can not take a exemption under section 54B and amt taxable as a long term capital gain
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