Indian Resident Selling Property Abroad

- Assuming your residential status is ROR

- Is it a residential house property or commercial property?

- It should be a long term capital asset

- To avail exemption, investment should be made in India only within a specified time period

For detailed discussion you may opt for phone consultation

What was the nature of property? Is it an apartment or plot.

Need more details about the property. Also, are you a resident now and what was your residential status when you invested.

1. Determining Property Type and Residential Status:

   • First, it's important to clarify the nature of the property you sold in Dubai. Was it a residential house or a commercial property? Additionally, is it an apartment, a plot, or another type of property?
   • Your current residential status in India and your residential status at the time of your initial investment in Dubai are crucial. Assuming you are a Resident and Ordinarily Resident (ROR) in India, different tax implications may apply.

2. Capital Asset Classification:

   • Ensure that the property sold in Dubai qualifies as a long-term capital asset, typically meaning it was held for more than two years.

3. Reinvestment Options for Tax Exemption:

   • To avail of capital gains tax exemption in India, the reinvestment of the proceeds should ideally be within India, and within a specified timeframe as per the Income Tax Act.
   • If you are considering reinvesting in property, it should be noted that such investment needs to be in residential property in India to avail of the exemption under Section 54F of the Income Tax Act.

Please let me know if you need any other clarification!

Hope you find the information helpful. You are free to contact me for further discussion.If you could spare two minutes of your time to write a review, It would be really grateful and very happy to read it.

Thank you.

Shubham Goyal