Deposit Account under capital gains scheme 1988

[DEEPAK CHHABRA]

Can an assesse open two deposit accounts in a public sector bank in accordance with the Capital Gains Account Scheme 1988 for the purpose of utilisation of the same for purchase/construction of house property.

[CAGOPALJI AGRAWAL]

Legally speaking the words used are "an account" which is interpreted as any or more than one also.

But it would be better to deposit the same in one account to avoid the litigation.

AI Summary

Capital Gains Account Scheme account plurality is permissible, though depositing in a single account is advised to avoid litigation. The phrase 'an account' in the Capital Gains Account Scheme, 1988 may be interpreted to permit one or more deposit accounts for utilisation towards purchase or construction of a house property; however, depositing funds into a single account is recommended to reduce the risk of litigation.