The Budget 2019 announced today has two major relief for persons who intends to purchase two houses from the capital gain received from old assets.
According to the budget proposal, the persons who intends to purchase new house out of the amount received from the sale of old asset can claim relief for two houses.
Under section 54F of the Income Tax Act, the sale consideration of the old asset can only be invested in one house property.
It is further proposed to increase the benefit of rollover of capital gains from investment in one residential house to two residential houses for capital gains up to Rs. 2 crore.
The Budget also proposed that the tax benefits for affordable housing extended till 31st March, 2020 under Section 80-IBA of Income Tax Act.
Additionally, the Finance Minister said that the Government wants the GST burden on home buyers to be reduced and accordingly the GST Council was moved to appoint a Group of Ministers to examine and make recommendations in this regard at the earliest.
