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2022 (3) TMI 1271 - ITAT CHENNAINature of lad sold - treating the agricultural land sold by the Assessee as ‘capital asset’ liable for long-term capital gain as against claim of the assessee that the land was agricultural land which would be exempt under the Act - As per DR gains were admitted by the assessee in the return of income and fresh claims could be made only by way of revised return of income - HELD THAT:- The department should freely advise the assessee as to their rights and liabilities and as to the procedure to be adopted for claiming refund and relief's. In CIT V/s Pruthvi Brokers and Shareholders Pvt. Ltd. [2012 (7) TMI 158 - BOMBAY HIGH COURT] noted that even if no claim is made before Ld. AO, the same could be made before appellate authorities and the jurisdiction of appellate authorities to entertain such a claim has not been negated by the Hon’ble Supreme Court in Goetz India Ltd. Vs CIT. [2006 (3) TMI 75 - SUPREME COURT] In fact, the Hon’ble court has made it clear that the judgment would not impinge on the powers of Tribunal u/s 254 of the Act. Considering all these factors, the Hon’ble High Court of Madras in CIT V/s Perlo Telecommunication & Electronics Components India Pvt. Ltd. [2021 (10) TMI 236 - MADRAS HIGH COURT] dismissed revenue’s appeal. Respectfully following the same, we would hold that Ld. CIT(A) was not right in law to dismiss the otherwise eligible claim of the assessee. We order so. Accordingly, since the land sold by the assessee was an agricultural land, the same could not be brought to tax merely on the ignorance of the assessee. The on-money as admitted by the assessee has also been received as well as accepted by revenue to have arisen out of the sale of land. Therefore, the character of the same would remain the same i.e. agricultural income. Deduction u/s 54Fnoted that even if no claim is made before Ld. AO, the same could be made before appellate authorities and the jurisdiction of appellate authorities to entertain such a claim has not been negated by the Hon’ble Supreme Court in Goetz India Ltd. [2006 (3) TMI 75 - SUPREME COURT] In fact, the Hon’ble court has made it clear that the judgment would not impinge on the powers of Tribunal u/s 254 of the Act. Considering all these factors, the Hon’ble High Court of Madras in CIT V/s Perlo Telecommunication & Electronics Components India Pvt. Ltd. [2021 (10) TMI 236 - MADRAS HIGH COURT]dismissed revenue’s appeal. Respectfully following the same, we would hold that Ld. CIT(A) was not right in law to dismiss the otherwise eligible claim of the assessee. We order so. Accordingly, since the land sold by the assessee was an agricultural land, the same could not be brought to tax merely on the ignorance of the assessee. The on-money as admitted by the assessee has also been received as well as accepted by revenue to have arisen out of the sale of land. Therefore, the character of the same would remain the same i.e. agricultural income. The other grounds relating to deduction u/s 54F has been rendered infructuous.
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