Section 54/54F, Income Tax

[Ethirajan Parthasarathy]

To claim relief under section 54/54F, one has to construct a residential house within 3 years from date of sale of original asset. If it is purchase of house, the time limit is 2 years.

My question is whether 2 years or 3 years time is applicable for investment in a apartment being developed by a builder.

Posts / Replies

[Padmanathan Kollengode]

Apartment being developed by builder tantamounts to "construction" and 3 years will apply. If he is investing in already constructed apartment, 2 years will apply.