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2013 (5) TMI 837 - AT - Income TaxClaim for exemptions under Section 54B denied - Held that:- CIT(A) correctly came to the conclusion that the Assessing Officer has not satisfactorily rebutted the presumption attached to the entries in the 7/12 extract i.e. the Land Revenue records. As per the Assessing Officer the declaration of agricultural income for assessment years 2005-06 to 2007-08 by the assessee were not scrutinized by the Department and therefore, the genuineness of the claim of agricultural income for those years was not proved and therefore he was not satisfied with the explanation. In our considered opinion, assessee had duly discharged the initial onus cast on him to establish his case that the said land was being used for agricultural purposes based on the entries in the 7/12 extract and the declaration of agricultural income in the returns filed for assessment years 2005-06 to 2007-08. Thereafter, the burden was on the Assessing Officer to rebut the stand of the assessee, which was backed by the presumption attached to the Land Revenue records as per Section 157 of the Maharashtra Land Revenue Code, 1966 and also the factum of declaration of agricultural income by the assessee in the respective assessment years. The Assessing Officer has merely disbelieved the explanation furnished by the assessee without any credible material to negate the same. Having regard to the material and evidence on record and the legal position, in our view, the CIT(A) was justified in holding that the assessee discharged the burden cast on him to establish that the land was being used for agricultural purposes in the two years immediately preceding the date of transfer. We hereby affirm the same and accordingly the Revenue has to fail on this aspect. - Decided in favour of assessee Claim for exemption under Section 54F denied - Held that:- No justification on the part of the Revenue to deny exemption under Section 54F of the Act merely on the ground that the residential building constructed by the assessee consisted of several independent residential units. The calculation of cost of construction of the residential portion of the new building, and it also asserted that such details were placed before the Assessing Officer. The learned Departmental Representative has not negated the aforesaid plea and there is no adverse discussion emerging from the order of the lower authorities on this aspect. Therefore, so long as the assessee’s claim of exemption is limited to the investment in the construction of the residential portion of the building, the same is held to be allowable. Thus, on this aspect, assessee succeeds, and his claim for exemption under Section 54F of the Act is upheld.- Decided in favour of assessee
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