Readers' Corner: Tax

Capital gain accounts are of two types

I have two questions on capital gains about the sale of a property. What are the features of Capital Gains Account and when should a home seller keep money in this account? Second, I want to know whether the interest from capital gains bonds is taxable.

A taxpayer can claim exemption under Section 54 of the Income Tax Act, 1961, on long-term capital gains earned on the sale of house property. The exemption is available to the extent the capital gain is used to purchase a new residential house within two years after the sale or one year before the sale.