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2016 (9) TMI 68 - AT - Income TaxDisallowance on account of loss from house property - joint ownership with the wife - assessee claimed that the installments towards the repayment of the loan taken from bank for purchase of the property were paid by him only not by his wife - Held that:- Nothing is brought on record to substantiate that the wife of the assessee made any contribution towards purchase of the house under consideration or the income from that house was assessable in her hands also. Furthermore, this claim of the assessee that the entire investment was made by him and installments towards term loan were paid has not been rebutted. Therefore, the income of the house, if any, should have been taxed in the hands of the assessee. Similarly, if loss from the house property was there the benefit was to be given towards that loss to the assessee only since the house was shown by the assessee in joint ownership with his wife for safety purposes. In that view of the matter the impugned order is set aside on this issue and the AO is directed to allow the claim of the assessee. Disallowance of the short term capital loss - Held that:- In the former part of this order it has already been observed that the assessee made the entire payments for purchasing the house property and the name of his wife was entered only for the security purposes. Therefore, the ld. CIT(A) was not justified in restricting the short term capital loss claimed by the assessee to the extent of 50%. I, therefore, considering the peculiar facts of this case set aside the impugned order on this issue and direct the AO to allow the claim of the assessee for short term capital loss.
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