Got money for surrendering tenancy rights? No tax if you reinvest in a residential property; rules explained

Tenants receiving compensation for surrendering tenancy rights can avoid income tax if they reinvest the funds into a residential property. A recent ITAT Mumbai ruling confirmed that tenancy rights are capital assets, and their surrender constitutes a transfer, making the compensation eligible for Section 54F exemption under specific conditions.

from Tax-Wealth-Economic Times https://ift.tt/YfbztHZ