In 2010 I purchased 1 BHK flat with amount 14 lakh . I took 11 lakh loan for it. In 2017 oct, I purchased 2 BHK flat of amount 70 lakh. Loan amount 60 lakh. In 2018 aug, I sold my old 1 BHK flat with amount 30 lakh, paid out standing loan amount 9 lakh. I paid 15 lakh out of remaining 21 lakh as as part payment of new homes loan account . So how much capital gain I need to pay? Can I pay remaining amount 6lakh as part payment of new homes loan account to save the tax? Do I have time span of 3 years to invest this amount?
Hi
You don't need to pay any Capital gain taxes.
The investment made in Oct 17 shall be eligible for claiming exemption under section 54.
Though Capital gain calculation needs to be done and shown in ITR, the same has to be shown as amount reinvested in another residential house property and thus claiming exemption under section 54.
You may repay the outstanding loan by paying 6 lacs. You may even utilise it anywhere else. Exemption is nevertheless granted as reinvestment has been made.
Dear Sir,
There will be no capital gain tax liability as you have already invested the amount in another residential property within timeframe.
You just need to show the capital gain calculation in ITR and take the benefit of exemption u/s 54.
We may help you in filing return.
Hi,
Hope you are doing well !!
You do not need to pay any capital gain taxes.
When an individual sells a residential property and buys another residential property, he will be eligible for exemption under Section 54 provided he should purchase a residential house either 1 year before the date of sale/transfer or 2 years after the date of sale/transfer.
You have fulfilled the condition of exemption section. So, you can avail the benefit of the exemption under Section 54.
I don't think you need to pay any capital gain tax as you have purchased another property before 1 year from the sale of a property and it's value is higher than the property sold which makes you qualified for claiming exemption under section 54.
Yes you can use the remaining amount also to pay the loan.
You don't need to invest any where else.
Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.
Thank you
Hi,
- Capital gain would be 1.25 lacs.
- You have time span of 2 years. You need to spend directly into the house property and not for loan repayment to avail exemption.
Thanks
Hi
Since you invested within 1 yr(before sale),so you are eligible for capital gain exemption under sec 54. No capital gain tax liability arises.
Hope it hepls
Hope this is not related to my salary account ? means no capital gain will get deduct from my salary ? What precautions I need to take while filling IT return?
No, it is not related to your salary account.
However it is advisable to file your income tax return and show proper capital gains in your tax return to avoid future tax notices.
Fill all details of sale of capital asset with indexation part and Claim deduction under Sec. 54.
Hi,
- Yes it is not related to your salary account and no TDS will be deducted on such account.
- Please fill the schedule CG with precaution.
No it won't affect your salary account.
While filing TDS return just claim the exemption against capital gain properly.
Hi,
Yes, this is not related to your salary account.
You just need to show all details of capital asset transferred in capital gain schedule in ITR.
Hi
Capital gain is not related with salary income.
You have to report the sale transaction in ITR under capital gain head and claim exemption there.
Hope it helps.