I acquired a residential plot at Visakhapatnam in 5/90 for a cost of Rs.1,75,000/- I sold it in 12/2005 for a sale consideration of Rs.5,00,000/-, (Rs Five lakhs was shown as consideration recd by me in the registration deed also). But the market value was shown as Rs.7,95,000/- on the Stamp papers for which the stamp fee was paid. The actual consideration recd by me was Rs.5 lakhs only, since I could not realise the fair and markt valu for various reasons. Again I purchased another residential property for Rs.7,72,000/- and the same was registered in my name in Jan, 2007 (i.e. after one year from the date of sale of my above mentioned residential flat). Now will I be eligible for exemption for capital gains under section 54 of the Inc Tax Act , or I wll be taxed for capital gains, if so what will be my capital gains liability. Please enlighten me. Thanking you, yours, mvchalam@rediffmail.com
