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2016 (11) TMI 532 - AT - Income TaxClaim of deduction u/s.54F - Held that:- As the Hon’ble Apex Court has held in the case of CIT vs. Vegetable Products Ltd.(1973 (1) TMI 1 - SUPREME Court ) as well as supported by several decisions of Superior Court that where there are two different decisions have been taken by the different High Court and there is no direct judgement of Jurisdictional High Court on the subject matter, then whichever judgement is in favour of the assessee, shall apply. Therefore keeping in view the ratio laid down by the Hon’ble Karnataka High Court in the matter of CIT vs. K. Ramachandra Rao (2015 (4) TMI 620 - KARNATAKA HIGH COURT ) wherein held that in the entire scheme there is no prohibition for the assessee putting up construction out of sale construction received by such transfer of a site which is owned by him as is clear from the language used. It is open for the assessee to put up a residential construction or to purchase a residential house. It is not the requirement of law that he should purchase a residential site and then putup construction., we set aside the order of the ld.CIT(A) and direct the AO to delete the disallowance - Decided in favour of assessee
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