Capital gain u/s 54f

Tax queries 271 views 1 replies

My client has sold property(polt) for 3500000, he has made agreement with builder for apartment which will handed over in next 1.6 year. in agreement he has paid(3000000) only for construction exculding price for doors, tiles, bath & kitchen fittings, (because he wants to put as per his choice) so he has purchased all this for 650000.

now can he claim full CG exemption inculding (3000000 + 650000) or proportionaly on 3000000 as the new asset is less than the original asset sold ?

Please let me know if there is any case laws as soon as possible

 

Replies (1)
expenses incidental to transfer of asset can be claimed as deduction. but 650000 was not an expense incidental to transfer, therefore it cant be claimed u/s 54f.


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