Capital Gains Sec-54

[gowrav potluri]

Is any relief is provided to Assessee regarding time limit specified in sec54 for purchase of residential house property with in 2 years of sale of old property. Agreement to sale is made within 2years but sale deed is made on later . Can assessee claim exemption regarding this?

[Ganeshan Kalyani]

You can invest the proceeds into Capital Gain Deposit Accounts Scheme as per section 54 in order to get exemption in income tax. Thanks.

AI Summary

Capital gains exemption timing: use a capital gain deposit account to secure Section 54 relief when property purchase is delayed. The assessee may deposit the capital gains proceeds into a Capital Gain Deposit Account Scheme in order to avail the exemption under Section 54 when the qualifying replacement residential property purchase is not completed within the statutory time limit.