how to avoid capital gain taxes on a land sale?



how many properties can a person invest in from the capital gained from a property sale to avoid capital gain taxes? can one invest in more than one property and buildings or is the tax exemption for one property and a building on that property only? and is there any limit in investing in national bonds or on property or building?

how to avoid capital gain taxes on a land sale?
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3 Replies to “how to avoid capital gain taxes on a land sale?”

  1. you can invest the whole proceeds from the sale of house in another property to get the whole tax exempted. However, if you invest only a certain sum then tax will be levied proportionately. Consult some CA to get the whole amount computed and for advise. He may charge you.


  2. ONE CAN ONLY INVEST ONLY IN ONE PROPERTY WITH IN TWO YEARS OF THE SALE OR CONSTRUCTION IN THREE YEARS. HOWEVER FOR AVAILING THIS BENEFIT ONE HAS TO DEPOSIT THE WHOLE SUM IN CAPITAL GAIN ACCOUNT WITH SCHEDULED NATINALISED BANK.

    AS PER SECTION 50 F OF THE INCOME TAX ACT ONE CAN DEPOSIT 50 LACS IN A YEAR OUT OF PROCEED IN CAPITAL GAIN BONDS. PROPORTIONATE OF INVESTMENT TO THE RECEIPT WILL BE EXEMPT FOR TAX. THESE BOND ARE GENERALLY ISSUE BY NABARD ETC.


  3. Dear very small question for a big answer and a large explanation, be on tax planning
    I understand your question, ask any CA who is reliable and experienced.

    Sale of property on profit surely attracts tax, you can invest in number of properties there is no limit but need to maintain the savings and savings in tax-bonds. so that you can invest, evasion of tax is not advisable or should not be encouraged.





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