When Transfer Is Complete U/s. 2(47)?
In this case transfer is not complete, because of property has not been given and therefore there is no question of investing in another house to claim exemption under section 54.
Whether Amount Appropriated Towards The Residential House But Not Deposited In Capital Gain Account Scheme Be Entitled For Benefit Of Section 54?
From the facts, it is clear that ‘A’ is constructing a residential house for which he must have taken estimate from the architect /developer for construction of residential house. Now, if he keeps balance of Rs. 70 lakhs in separate bank account or
Is Legal Heir Is Entitled To Claim Benefit Of S. 54 / S. 54F?
This point has been decided by the Madras High Court in C.V. Ramanathan v. CIT [125 ITR 191], wherein the Court held that one of the concessions provided for persons deriving capital gains under the Income-tax Act is that where a person sells property used for his residence and substitutes another its place, then any capital gain derived by him would not be liable to assessment so long as the entire capital gain is reinvested in the newly acquired property.
When Capital Gain Arises On Transfer Of Tenancy Right?
As tenancy rights are surrendered only when tenant pays for construction cost to landlord. For the reason that the agreement provides that if the tenant does not pay construction cost to the landlord within 30 days of
Can Legal Heir Claim Exemption From Capital Gains For New House U/s 54?
Thus, it is clear from the above judgments that legal heir steps in the shoes of deceased and entitled for deduction under section 54 of the Act.
If Stamp Duty Value S. 50C Is Invested In New House Is S. 54F Exemption Available?
where capital gain is assessed on notional basis under section 50C, whatever amount is invested in new residential house within prescribed period under section 54F would get benefit of deduction irrespective of the fact that funds from other sources are utilised for new residential house
I borrowed funds to buy a new house u/s 54. Will the s. 54 exemption be denied to me?
No! The only requirement for availing deduction u/s 54 is that the new residential house must be purchased or constructed within the period specified in the section. The source of funds is irrelevant.