I want to sell two houses and buy a bigger one. As I am putting money in a new house property, I am eligible to get the capital gains benefit. I wish to know if I can get the benefit for just one property or both?
According to section 54 of the Income-Tax Act, if you sell a residential house, the income from which is chargeable under the head 'income from house property', you can claim a deduction while calculating taxable capital gains. This can be done by utilising the earned capital gains in purchasing/constructing another residential house within prescribed timelines.
