Are you liable to pay tax on money received as gift? – The Economic Times

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  • Last Updated on 27 October, 2020
I bought a commercial property in 1999-2000 in Delhi and had been using it for my own business. Now I want to sell it. To save capital gains tax, will I have to invest just the gains or the entire sale proceeds in bonds specified under Sec 54EC? 
 

Rakesh Bhargava Director, Taxmann replies, “You are required to invest the capital gains and not the entire sale proceeds to claim Section 54EC tax exemption. Investment in bonds issued by NHAI or RECL has to be done within six month of the date of sale of the property. You can claim a maximum deduction of `50 lakh under Section 54EC.” 
 

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