LTCG

Chinnappan D M (Consultant) (96 Points)

10 March 2010  

I have purchased a house property in 1980 and developed over a period and the cost of indexed value is Rs.30 lacs

I am now selling the house for 90 lacs and the LTCG is Rs.60 lacs. To avoid tax I can invest them in purchasing another residential house or invest in designated tax free bonds (u/s 54). My doubts are

1. Can I buy two residential properties using Rs.60 lacs. If so is it to be purchased only in my name or it can be purchased in the joint names of my wife/daughter/son. The property that is being sold now is in my name.

2. If invested in bonds of NABARD/ NHAI what are the tenure of these bonds and is there any minimum lock in period

3. At the time of maturity of these bonds whether the principal and interest are taxable or only interest is taxable.

4. Can I use the indexed value of Rs.30 lacs as I desire