i bought house lived for morethan 10 years now in last 3 yrs. i demolished n constructed comml. complex nw i want to sell it. And to construct a new complex in sme othr place 4 comml. reason now hw cn i save CG tax a. is it taxable on stcg r ltcg? b. wch is beneficial as tax point to sell nw or aftr 3 yrs. f construction period? c.am i get tax benefit on construction f another comml. complex? r should i hv to construct house let out for comml. purpose? kindly suggest thanks in adv.
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If you sell the commercial complex after 3 years of its construction, it will be long term capital gain. You cannot get deduction by building a new commercial complex out of the gains. You will have to invest in bonds u/s 54EC.
If you regularly construct and sell residential/ commercial complexes/units, the AO might see it as business income instead of capital gain.
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