Long-term capital gains: Can you save taxes by buying multiple properties?

livemint.com:

I bought residential property A in 2012 and another B in 2013 for ₹62 Lakh and ₹75 lakh respectively. On Nov 2022 I gifted property A to my father and property B to my mother through a registered gift deed. Now I want to sell both properties and I wish to put my Indexed cost as FDs in the bank and invest the taxable capital gains in small flats to save taxes. The sale price of flat A is ₹1 crore and for flat B is ₹2 crore. Can I buy multiple properties and save taxes on long-term capital gains? Since your parents are owners of the respective properties now, the investment has to be made in their name.

The profits made on the sale of both properties will be treated as long-term as the combined holding period of you and your parents for both properties is more than 24 months. As per the tax laws individuals and HUF can claim exemption from tax on long-term capital gains on the sale of residential property if the indexed capital gains are invested for buying or constructing another residential house. The investment in the new residential house property has to be made within two years from the date of sale of the existing property.

A higher time limit of three years is available if you go for self-construction or book an under-construction property. Though the law requires that the capital gains in respect of one residential house have to be invested in another residential house taxpayers have a one-time option to invest the long-term capital gains on the sale of one residential house in two residential houses provided the amount of long term capital does not exceed two crore rupees. So both your parents can avail this once-in-a-lifetime opportunity to invest long-term capital gains from the sale of one house in two