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2016 (2) TMI 570 - AT - Income TaxNon-granting of exemption available u/s. 54 - the investment in the new residential house property was not situated in India - Held that:- Following the decision of the Coordinate Bench of this Tribunal in the case of Ms. Dhun Jehan Contractor (2015 (8) TMI 316 - ITAT MUMBA) we hold that the assessee is entitled to be allowed exemption under section 54 of the Act in respect of the investment made in the purchase of the new residential property abroad in 151, Whispering Lane, Winona, Winona County, Minnwsota 55987, USA.- Decided in favour of assessee Computation of LTCG - indexation of the cost of acquisition - property acquired through inheritance - Held that:- Respectfully following the decision of the Hon'ble Bombay High Court in the case of Manjula J. Shah ( 2011 (10) TMI 406 - BOMBAY HIGH COURT ), we hold that while computing the LTCG on transfer of the said property acquired by the assessee in the case on hand by inheritance, the indexed cost of acquisition has to be computed with reference to the year in which the previous owner first held the asset (i.e. the assessee's late mother first held her 50% share in the said property by inheritance on the expiry of her husband on 11.11.1963) and not in the year in which the assessee became the owner of the asset, viz. in 2006. We, accordingly, hold and direct the AO to allow indexation of the cost of acquisition of the said property entirely w.e.f. 01.04.1981. - Decided in favour of assessee
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