Long term Capital Gain

Hi,

Your case seems to be a peculiar one. In my experience, banks have allowed the withdrawal of the remaining amount, on submission of the the sale deed of the new property, proof of payment of stamp duty within the two year time limit, and a certificate from a CA instead of an ITO. Further, since your client has sold a residential property and bought another residential property, only the amount of capital gains has to be invested and not the entire sale consideration. Banks have allowed my clients to withdraw the excess money based on the certificate of a CA and had not insisted on a certificate from the ITO.

Regards

CA Keerthiga Padmanabhan

M.Com., CA, LLB

Hello,

As per the details provided by you I am still unsure if the property is registered in the name of your client or not. If it is then it shall not be a problem but if it is not then you will have to get the property registered and show your bank payment as a proof that the property was purchased in the due period.

Hello,

Also attach electricity bill copy or maintenance receipt copies to prove that even possession was obtained by your client.