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2021 (4) TMI 455 - AT - Income TaxGain on Sale of house property - whether it resulted in long term capital gain or short term capital gain? - period of holding - A.O. was of the opinion that assessee acquired the said property w.e.f. 11.8.2006 and not from June, 1997 since the assessee has not got transferred, the property in favour of him in terms of section 2(47)(v) r.w.s. 53A of the T.P. Act - contention of the assessee is that for the purpose of computation of capital gain indexation cost of acquisition to be made from the date of making substantial payment and not from the actual date of sale deed - whether date of substantial payment towards acquisition of flat to be considered as a date of acquisition or the date of sale agreement to be considered as a date of acquisition of the said property? - HELD THAT:- This controversy was settled in the case of A. Suresh Rao [2014 (1) TMI 1585 - KARNATAKA HIGH COURT] in which Hon’ble High Court analysed various provisions of the Act pertaining to computation of capital gain under various situations and also circulars issued by the CBDT on this issue. Being so, assessee paid a substantial amount of ₹ 16,75,900/- before the year 1996 and as such, the year of acquisition to be 1996. Accordingly, Idirect the A.O. to consider the year of acquisition of flat as 1996 and thereafter compute the cost of acquisition from this year 1996 as long term capital gain only. This ground of appeal is allowed. Payment of commission - 2% commission on sale consideration is very high - we are inclined to grant payment of commission of 1% and the same to be deducted from the sale consideration. The assessee would get a benefit partially as claimed by the assessee. Appeal filed by the assessee is partly allowed.
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