| Question And Answer | |
|---|---|
| Subject: | GST and Stamp Duty cost whether allowed in section 54F Deduction, investment in residential house |
| Category: | Income-Tax |
| Querist: | Manish Jain |
| Answered by: | Mr . H. N. Motiwalla |
| Tags: | GST, investment in residential house, s.54F, Section 54F deduction, Stamp Duty |
| Date: | July 28, 2024 |
One assessee has purchase new residential property for section 54F benefit. Whether GST and Stamp Duty Paid on New Flat is allowed as deduction ?
The Madras High Court in C. Aryama Sundaram vs. CIT [407 ITR 1] has observed that:
“The cost of new residential house would necessarily include the cost of land, materials used in the construction, labour and any other cost relatable to the acquisition or construction of the residential house”
Thus GST and Stamp Duty paid for purchase new flat shall be included as cost of purchase.
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