I gave my property of 2 and a half acres for a JV and got 20 apartments out of that. The capital gains tax on this is very high and I wish to get capital tax exemption, how can I do that? Also, which sections should I be cautious about with regards to the land?
Answered on November 08, 2017
The capital gains will arise in the year in which the land is transferred to JV. Exemption to the extent of Rs. 50,00,000/- will be available under section 54EC of the Income Tax Act provided you invest in specified bonds or under section 54EE of the Income Tax Act on investing in the units of specified start up funds as notified by central government within a period of six months from the date of transfer.
