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Section 54f

Others 490 views 7 replies

The issue dealt with was whether the exemption u/s 54f is available in cases where more than a single capital asset is sold and the resultant combined long-term capital gain is invested in purchasing or constructing one single residential property within the prescribed time limit of 2 years or 3 years as the case may be in a two different years. Whether it is possible?

Replies (7)

Yes       

1. All ITAT 2122 ITAT HYD (117)

2  Rajesh Keshav Pillai Vs. ITO (2011) 44SOT 617/7 

how?

 

Whether capital gains of multiple years can be claimed? [Smt.Anagha Ajit Patnekar v. ITO [2006] 9 SOT 685 (Mum.)]

Definitely yes.
Go through the relevant text of section 54F which is as follows :- "in the case of an assessee being an individual or a Hindu undivided family, the capital gain arises from the transfer of any long-term capital asset, not being a residential house (hereafter in this section referred to as the original asset)
The important things to note is firstly the asset transferred should be a long term one(other than residential house property) and lastly the proceeds should be invested in purchasing a residential house in India within the prescribed criterias.
So long as these conditions fulfils you will be eligible to get deduction.

Yes.

Agree with above experts.

Thank you so much sir. :)


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