Long Term Capital Gains on sale of my Plot

Hi I have already a house since 97. One plot was allotted to me in 2002-2003 by NOIDA Authority which was on yearly installment basis. Finally registered & took procession in 2008 total cost 5.75 Lac . Now sold in 2012-13. at 52 Lac .Can I purchase another plot or house to avail LTCG ? If yes then up to which amounts? Or can I renovate my existing house ?

asked Sep 05 '12 at 01:55 by SUBODH 112

In case you don't own more than one residential house property at the time of selling plot, you can take tax benefit u/s 54F by buying another residential house property or constructing a house.

There is no tax benefit on purchase of a plot. Benefit would be applicable if a house is also constructed on same.

In case buying/construction cost of new house is more than selling price of plot, no income tax would be payable.

Renovation on existing house would only be considered if there is any new construction (like a new floor addition or reconstruction of whole house).

answered Sep 06 '12 at 22:41 by Pankaj Batra 5.2k320


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Asked: Sep 05 '12 at 01:55

Seen: 1,736 times

Last updated: Sep 06 '12 at 22:41