Section 54GB : Exemption on CG on transfer of residential property if invested in new manufacturing SME company

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..... ial property (a house or a plot of land) owned by the assessee (House or plot of land may be in India or outside India) made on or before 31.03.2022 Conditions for claiming deductions The assessee has before the due date of furnishing the return of income under section 139(1) utilized the net consideration for subscription in EQUITY shares of an eligible company (Preference share cannot be subscri .....

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..... rights after subscription in shares by the assessee The company which qualifies to be a small or medium enterprise under the Micro, Small or medium Enterprise Act, 2006 or is an eligible start-up. Meaning of New Asset New asset means new plant and machinery but does not include- (i) any machinery or plant which, before its installation by the assessee, was used either within or outside India by an .....

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..... le Quantum of Deduction Where part of the net sales consideration is invested, it will be exempt proportionately :- Capital Gain x Amount Invested/Net Sale Consideration Transfer Consequence If the equity shares of the company or the new asset acquired by the company are sold or otherwise transferred within a period of 5 years from the date of their acquisition, the amount of capital gain arising .....

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