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2010 (8) TMI 528 - AT - Income TaxLong term capital gain - Exemption u/s 54K or 54F - Full value of consideration - How to compute deduction u/s 54F - Held that: - the meaning full value of consideration as mentioned in different provisions of the Act except in Section 48, one will have to consider the full value of consideration as specified in sale deed. Deduction u/s 54F - It is clearly mentioned in Section 54F(4) also that net consideration which is not appropriated towards the purchase of new asset then the same is to be taxed in case such net consideration not appropriated is not deposited in the capital gain account, it is not necessary that the new asset should be got registered before filing of the return. The requirement of law is that net consideration is required to be appropriated towards the purchase of the new asset. Thus deduction u/s 54F is clearly applicable. - Fiction u/s 50 to treat capital gain from depreciable assets is not applicable to exemption provisions - deeming fiction mentioned in one Section will not automatically apply to all the provisions - Section 54E is not controlled by Section 50. Hence deeming provisions as mentioned in Section 50C will not be applicable to Section 54F so far as the meaning of full value consideration is concerned as deeming provision mentioned in Section 50C is for specific asset and for the purpose of Section 48 of I.T. Act, 1961.
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