Sec 54 or 54f

Direct Taxation

Mr.A have a land and building which is a residential property on the documents but used for both commercial and residential purpose,he also pay commercial tax proportionally,now he wants to sell it and buy a new residential property what are the exemption available and which section is attracted (LTCG of 1.2 cr)

mani charan

CA Final

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10-Mar-22 15:06

565

Answers (3)

Section 54 talks about profit on sale of property USED for residence. If it is not used for residence, then section 54 is not applicable

Yoga Vishnu

CA Final

★ 11K+

11-Mar-22 14:52

Yoga Vishnu

Section 54 talks about profit on sale of property USED for residence. If it is not used for residence, then section 54 is not applicable

Sir in the act it is said that sale of residential property,my doubt is whether the property sold by mr a is residential or commercial

Thread Starter

mani charan

CA Final

★ 3K+

11-Mar-22 14:57

Intention of law is - the property used for residential purpose, section 54 is applicable. If not, section 54 is not applicable.

Yoga Vishnu

CA Final

★ 11K+

11-Mar-22 14:59