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2019 (9) TMI 1181 - HC - Income TaxEligibility of benefit u/s 54 - re-investment in residential property outside India, i.e. in London in this particular case - assessee is a Non-Resident Indian - HELD THAT:- The authority arrived at its conclusion with regard to the respondent being entitled to exemption under Section 54 of the Act by placing reliance on the decision of Leena JugalKishor Shah Vs. Assistant Commissioner of Income- Tax, [2016 (12) TMI 351 - GUJARAT HIGH COURT] . The authority has noted that the Revenue has not assailed the said decision before the Supreme Court. Reference has also been made to the Circular No. 01/2015 containing explanatory notes to the provisions of the Finance (No. 2) Act, 2014 whereby Section 54 of the Act was amended to specifically include the word “in India” in respect of the residential house acquired out of the long term capital gain earned by the assessee. The said explanatory note in terms provides that the said amendment would take effect from 01.04.2015 and would, accordingly, apply for the assessment year 2015-16 and subsequent assessment years. Thus, the said amendment is prospective and would not apply in the facts of the present case since the respondent sold the residential property in India and earned long term capital gain in the assessment year 2012-13 and invested the said gain in the same year for purchase of the property, as aforesaid, in London. - Decided against revenue
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