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2014 (6) TMI 933 - AT - Income TaxSale of flat - short-term capital gains or long- term capital loss - Held that:- In order the calculate three years for the purpose of computing the capital gain, one has to take into account the date of allotment of the flat from the builder to the assessee, and it is pertinent to take note that from that date onwards the right to the said property is acquired by the assessee. In this case we find that the assessee had made the 1st payment for the flats (702 and 703) on 15.04.2006 and the said fact is corroborated by the letter written by the builder to the assessee dated 21.05.2006, which clearly refers to the progress in the construction of flat No. 702; and it is also reminder to the assessee to remit the rest of the part payment, which clearly goes on to substantiate the contention of the assessee that Flat No. 702, was in fact allotted to it and also to the fact that the construction of the said flat began soon after the first installment was paid by the assessee on 15.04.2006. Thus we find that the appellant had acquired the valuable right, title and interest in property on 15.04.2006 for flat No. 702. Therefore we direct the AO to allow the claim of long term capital loss on sale of right in Flat No. 702. However in respect to Flat No. 703 the same may be verified by the AO. Having said so we set aside the order impugned and direct the AO to decide the date of allotment of flat No. 703 in the light of evidence placed on record and any other enquiries deemed fit by the AO in this matter. Needless to say that adequate opportunity be granted to the assessee before passing any order in this aspect.
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