Dear Sir,
my query is relating to section 54F of Income Tax Act.
My client has long term capital gain of Rs. 30 lakhs from sale of Gold, he has purchased a house 1 year before for Rs. 35 Lakhs by borrowing loan from bank of Rs. 25 lakhs. All the conditions of section 54F are satisfied, I want to know what will be exemption he get?
Formula of 54F = 35,00,000*30,00,000/32,00,000
or = 10,00,0000*30,00,000/32,00,000
Which is correct for taking exemption
Pleas suggest me.