Sir, i bought a property in Dec'2009 and got possession of it in May 2010. Now, if I purchase a new property in joint name of myself and my husband, can the long term capital gains from the sale of the old property be adjusted in the combined loan taken for the second property?
1 Answers
As three years have passed after possession, if you sell property, it would be considered a long term gain.
In case property is residential house property, then section 54 would apply, else 54F.
In case of section 54, if your contribution in new residential house property is more than long term gains earned from old property, there would not be any income tax payable.
In case of section 54F, your contribution in new property should be more than sale consideration of old one, to save tax fully.
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