Section 15 - Substitution of new section for section 53 - Taxation Laws (Amendment) Act, 1984

15. Substitution of new section for section 53. For section 53 of the Income-tax Act, the following section shall be substituted, namely: 53. Exemption of capital gains from a residential houses. Notwithstanding anything contained in section 45, where in the case of an assessee being an individual, the capital gain arises from the transfer of a capital asset (other than a short-term capital asset) being buildings or lands appurtenant thereto, and being a residential house, the income of which is chargeable under the head Income from house property , the capital gain arising from such transfer shall be dealt with in accordance with the following provisions of this section, that is to say, (a) in a case where the full value of the consideration received or accruing as a result of the transfer of such capital asset does not exceed two hundred thousand rupees, the whole of the capital gain shall not be charged under section 45; (b) in a case where the full value of such consideration exceeds two hundred thousand rupees, so much of the capital gain as bears to the whole of the capital gain the same proportion as the amount of two hundred thousand rupees bears to such consideration shall not be charged under section 45: Provided that nothing contained in this section shall apply to a case where the assessee owns on the date of such transfer any other residential house. .