How to close the account opened under Capital Gain Deposit Account Scheme (CGDAS)?

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12 Jun 2019

Rule 13 of Capital Gain Account Scheme, 1988 provides for mechanism for closure of capital gain account.

The depositor has to file an application in Form-G along with the passbook of account- A or deposit receipt of account-B, as the case may be, to the deposit office with the prior approval of the Assessing Officer who has jurisdiction over the depositor.

In case the depositor is an eligible company as referred to in section 54GB, then for closure of capital gain account, it shall be required to make a joint application in Form G along with the passbook of account-A or deposit receipt of account-B, as the case may be, to the deposit office signed by the eligible assesse as referred to in section 54GB with the prior approval of the Assessing Officer having jurisdiction over the eligible assesse as referred to in section 54GB.

The deposit office shall make the payment of the amount in the account of depositor including the amount of interest accrued by crediting such amount to any bank account of the depositor. In case the amount is not utilized for purchase/construction of another house property, order the bank to pay the amount to the assesse after payment of capital gain tax on behalf of assesse to the Government Treasury.

In case of deceased depositor where nomination is made then nominee may file an application for the closure of account in Form-H along with the passbook of account-A or deposit receipt of account-B, as the case may be, to the deposit office with the prior approval of jurisdictional Assessing Officer of the deceased depositor.

In case of deceased depositor where nomination is not made then a legal heir may file an application for the closure of account in Form-H along with the passbook of account-A or deposit receipt of account-B, as the case may be, to the deposit office with the prior approval of jurisdictional Assessing Officer of the deceased depositor. In case there are more than one legal heir of the deceased depositor, the legal heir making the claim individually can do so by providing the letter of authorization from other legal heirs in his favor.

The deposit office shall make the payment of the amount in the account of the deceased depositor, including the amount of interest accrued by crediting such amount to any bank account of the nominee.