How much amt should I reinvest for Property sold in Pune

Share This Thread
  1. Anand Kulkarni

    Anand Kulkarni New Member

    Dear Sir/Madam,
    I am planning to sell my Flat in Pune.

    The expected sale price is INR 60 Lacs. Bought in July 2009 (FY-2009-10) for Rs. 32 lacs.

    Kindly advise regarding LTCG. i.e. How much to invest. and by when.

  2. V K Khanna

    V K Khanna Active Member

    Your LTCG will be sale consideration minus cost of acquisition of flat after indexation benefits.

    If you intend to buy a new flat, you can do so in two years from the date of transfer of the existing flat, three years in case you intend to construct a new residential house u/s 54 and further u/s 54EC you can claim exemption if you invest LTCG in the purchase of LTCG bonds offered by REC &NHAI provided the purchase is completed within a period of six months.
  3. Anand Kulkarni

    Anand Kulkarni New Member

    Thanks for the reply.

    Under CII. is there any minimum amount to be reinvested.


    Anand Kulkarni
  4. V K Khanna

    V K Khanna Active Member

    You have to invest whole of LTCG to get maximum deduction under Sec 54. Otherwise, the unutilized portion of LTCG will be subject to taxation @ 20% + cess.

    Under Sec 54EC, the maximum limit is Rs 50 lakh and minimum one bond of Rs 10,000.
  5. Piyush Chawla

    Piyush Chawla Active Member

    There is no minimum amount which is required to be reinvested.

    The more you invest, the more tax deduction you will get.
  6. Anand Kulkarni

    Anand Kulkarni New Member

    Sir, can we consider the maintenance charges paid to society while calculating LTCG?

    Kindly advise.


    Anand Kulkarni
  7. V K Khanna

    V K Khanna Active Member

    Sir, your query has been answered by Mr Zed today separately and I agree with his reply.
    ZED likes this.
Draft saved Draft deleted