capital gains if holding multiple properties

Share
Share This Thread
  1. nintzuk

    nintzuk New Member

    hello

    my father and mother have multiple joint properties in their name. now they are selling one residential flat. please can you advise the best way to save LTCG. My CA says since they have more than one property in their name they are liable to pay tax. I have checked online on multiple forums and it is mentioned that the amount can be invested in capital bonds for 3 years to save tax. If so the entire sale proceeds have to be invested or only the capital gain part ? please clarify.

    thank you.
     
  2. V K Khanna

    V K Khanna Active Member

    Your parents are selling a residential property. There is no such restriction which you mentioned. They can seek exemption from payment of long term capital gain tax under sec 54 if they invest the LTCG
    in the purchase of a new residential property. Exemption is also available to them if they invest the LTCG in the purchase of Capital Gain Bonds offered by NHAI or REC subject to the maximum of Rs 50 lakh and the purchase is completed within a period of six months from the date of sale of the previous asset.
     
Draft saved Draft deleted
Loading...
Similar Threads Forum Date
Capital Gains tax Income Tax Feb 12, 2018
Capital gains bonds investment in the name of deceased person Income Tax Feb 9, 2018
CAPITAL GAINS ON SALE OF PROPERTY Income Tax Jan 6, 2018
Capital Gains on House Property Income Tax Dec 31, 2017
business profit&capital gains Income Tax Dec 22, 2017