I have purchased a Residential Flat in Pune on June 2005 for Rs. 750000/- from Developer on Myself and Wife’s name, I have availed a loan of Rs. 6 Lacs on my name from ICICI Bank.
In February 2008 I have purchased another flat in Pune on both of us name for Rs. 19 Lacs made a down payment of Rs. 5 Lacs and Rs. 14 Lacs loan availed from LIC Housing Finance.
Now I wish to sell flat purchased in June 2005 for Rs. 30 Lacs.
Kindly suggest the implication of above transaction:-
1. If, Income Tax is applicable on the realization of Residential House Property.
2. Is exemption of Section 54 is available in above case.
3. If, income tax is applicable then on what amount.
4. In Balance amount can I purchase a Commercial Property.
CAclubindia
