Section 54F → Section 72
Exemption on sale of any asset other than a residential house
Quick Answer
Section 54F of the Income Tax Act, 1961 (Exemption on sale of any asset other than a residential house) corresponds to Section 72 of the Direct Tax Code 2025 (Income-tax Act, 2025), effective 1st April 2026. Status: Retained.
Sec 54F
Provision Summary
Exemption if net sale consideration of any long-term asset (shares, gold) is invested in a residential house.
Sec 72
Provision Summary
Retained with the new Rs. 10 Crore maximum cap limit.
Key Changes & Highlights
- Proportionate exemption logic hardcoded into the portal to prevent manual calculation errors.
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Frequently Asked Questions
What does Section 54F of the Income Tax Act 1961 deal with?
Section 54F (Exemption on sale of any asset other than a residential house) Exemption if net sale consideration of any long-term asset (shares, gold) is invested in a residential house.
What is the new section number for Section 54F under the Direct Tax Code 2025?
Section 54F of the ITA 1961 maps to Section 72 of the Direct Tax Code 2025 (Income-tax Act, 2025), effective from 1st April 2026.
What is the status of Section 54F under the new tax code?
Section 54F is marked as "Retained" with status "Modified". Impact: High - Widely used for converting stock market wealth into real estate.
What are the key changes to Section 54F under DTC 2025?
Proportionate exemption logic hardcoded into the portal to prevent manual calculation errors.
Disclaimer: This page is for educational and reference purposes only. Section mappings are based on publicly available drafts and circulars. Always consult a qualified Chartered Accountant before filing or making compliance decisions under the Direct Tax Code 2025.
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