Case Law Analysis
|Income Tax Appellate Tribunal
Section 54 Income Tax Act | Exemption Applies Per Residential House Sold, Not Limited to One Property: ITAT Bangalore
The ITAT Bangalore has ruled that capital gains from the sale of multiple residential properties qualify for Section 54 exemption on a per-property basis, allowing taxpayers to reinvest gains from each sold flat into separate residential purchases without being capped at one house. This clarifies a long-standing ambiguity and benefits high-net-worth individuals and real estate investors who liquidate multiple units in a single financial year.