banner_ad

LTCG treatment of sale of urban agricultural land

Tax queries 374 views 3 replies

Question: Plot of agricultural land (in urban area) is sold.

Can the LTCG from sale of this land be reinvested in a residential property to avail of  LTCG exemptions for purposes of tax, or does it necessarily have to be in another agricultural plot. Would be grateful for your guidance.     

Replies (3)

Yes, exemption u/s. 54F can be availed...

You can invest in residential property.

Can you please clarify under which provision?? For I am confused by the following regrding sale of agricultural land:

"Conditions you need to meet Under Section 54B for claiming exemption from Capital Gains

  • The exemption is available to an Individual or a HUF.
  • The land which is being sold must have been used for agricultural purposes by the individual or his parents or by the HUF for a period of 2 years immediately before the date of transfer.
  • Another land for the agricultural purpose should be purchased within a period of 2 years from the date of transfer of this land.
  • The new agricultural land which is purchased to claim capital gains exemption should not be sold within a period of 3 years from the date of its purchase."

 


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 09 June 2026
Article Trainee

Numbertree LLP

Mumbai

CA Inter

View Details
Company
26 May 2026
CA / MBA (Finance) / CMA / M.Com (Finance)

Sri Aurobindo Gnostic Centre of Education

New Delhi

CA

View Details
Company
19 May 2026
Accountant

ca kunjan

Mumbai

CA Inter

View Details
Company
22 May 2026
Sr. Financial Analyst - Consolidation

Search Synergy

Mumbai

CA

View Details
Company
Featured 28 May 2026
SEMI QUALIFIED/ CA DROPOUTS/ ARTICLES

T R SOOD & CO

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 27 May 2026
CA Article Trainee

Rahul Dang & Associates-Chartered Accountants

Pune

CA Inter

View Details
Company
Featured 26 May 2026
Account Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
ARTICLESHIP 15 May 2026
Audit Assistant / Article Trainee / Intern

SSGS and Associates

Chennai

CA Inter

View Details