my friend has 3 flats , he wants to sell 2 out of 3 flats and buy 1 new and so end of the deal he will have 2 flats.
how capital gain methodology will work
Asked 3 years ago in Capital Gains Tax from Pune, Maharashtra
He will have to pay tax on capital gains on sale of 2 flats.
As per Income Tax Act you can purchase one flat by selling one flat. You cannot sell 2 flats and invest in one to have exemption of capital gain tax. For further queries and elaborate answer pl mail complete details at firstname.lastname@example.org
You may invest in 2 residential house properties, as new definition u/s 54 requires investment in one house. If you invest in 1 house you will not fulfil the condition being investment in one house.