Gain Muscle on a calorie deficit. Possible?

I'm down to a 120lbs and want to gain muscle especially in the abdomen area and arms. I've lost quite some pounds but still have belly fat. Any idea or tips (workout routine, daily hour spent on weight training, food, how many times in a week should I weight train to start gain/build muscles, workout video) on how to build/gain muscle in both abdomen and arms on a calorie deficit. I am somewhat hesitant to increase my calories because I'm scared it would just turn to fat instead of muscle. LOL. Thanks. :))