Deduction u/s 54F


I have sold shares in FY 2023-24 worth ~Rs. 50 lacs and earned capital gains on the same. I have finalised an under-construction property worth Rs. 75 lacs and will pay an advance of Rs. 5 lacs before July 2024 (before filing the ITR). The remaining amount will be payable over a period of next 3 to 4 years but Rs. 50 lacs will certainly be paid within next 3 years. The property is in Mumbai and the stamp duty on the same will most likely be paid before July 2024. My questions:

  1. Am I complying with all the requirements to claim deduction u/s 54 F. I intend to claim the entire amount of sale proceeds of Rs. 50 lacs.
  2. Is there any further requirements if for some reasons the payment of stamp duty and registration is delayed and is not completed before filing the ITR?
  3. As the amount of Rs. 50 lacs will be paid over a period of next 2 to 3 years, do I need to open a Capital Gains account with a bank and keep my unspent funds there. I do not see any such requirement in the IT Act. I prefer to keep it in a deposit account or another liquid asset.

2 posts were merged into an existing topic: Section 54F - Exemption on Capital Gains from stocks, land, etc