Deduction U/s 54 Query

cap gain will be in the name of mrs. X

new investment can be made in name of mrx X or jointly in name of Mr. nd Mrs. X ....in residential house property within the prescribed time period in order to claim exemption u/s 54

As Gift before 1-10-2009 is not taxable.

Henece CG will be in the hands of Mrs. X and not in Mr. X.

He may Purchase House Property within 2 Year, or Construct within 3 Years from the date of transfer. However She May Deposit the amount in Special Account with NAtionalised Bank before the due date of Filling of return.

Deduction cannot be claimed by Mr.X as the Ownership lies with Mrs.X.

So Purchase of Property should only be in the name of Mrs.x

i came to this conclusion as per decision of case ITO vs Saraswati Ramanathan in which exemption u/s 54 EC was allowed even if the new bonds were in joint name of assessee and her son...

gud job shena 

keep it up 

thanxx........

Good  Jon Indeed Sneha.

Agree.

thanx san....

Section 64(1)(iv) does not apply to house property. Hence, no clubbing under this section.

Further, section 27 is applicable for limited purpose of clubbing of income under house property (Section 22 to 26) & not to the capital gains.

Hence, no clubbing of Capital gains in the hands of Mr. X.

There is no need to purchase residential property in joint names. Purchase of property in the name of Mrs. X would suffice.

Reply by Mr. HARDIK VYAS is accurate.