Say I buy a house worth 1 Crore in the next 3 months and am expecting some long term capital gains in the next financial year (during Apr - June 2022), where the net consideration value (net selling value that resulted in the capital gains) is 3 lakhs. As per Schedule 54F, I can claim exemption on the long term captial gains. However, my question is, in order to claim this exemption, do I need to spend the value I got from the capital gain on the house purchase / clearing the loan made for the purchase, or am I free to use that amount for any other investment, like buying some equity shares, and still be able to claim the exemption?
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Conditions for claiming exemption under schedule 54F
Replies (6)
Quick Summary
Either you can invest the amount in capital gains deposit account or you can use it in purchasing new residential property within 2 years from the date of transfer
No Sourav Gi,
Deposit in CGAS Account & Build a new house within 2 years of deposit -use the amount invested in CGAS Account for the construction.
Deposit in CGAS Account & Build a new house within 2 years of deposit -use the amount invested in CGAS Account for the construction.
There are two options available to you.
1.You can invest the amount in capital gain
1.You can invest the amount in capital gain
Same answer I given above that either can be used
You can claim exemption u/s 54f on account of buying some equity shares or other investment. The only option is to deposit in CGAS account & buid a new house within 2 years with that amount
Yes agree with above comment
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