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2021 (7) TMI 61 - AT - Income TaxDeduction u/s 54 - one residential house is eligible for deduction - CIT-A confirming sale consideration determined by Ld. AO on adopting the market value of 2 residential flats - HELD THAT:- We note that the assessment year involved in this case in prior to the amendment restricting the deduction under section 54 to one flat/home. Ld. CIT(A) despite noting that there are various Hon’ble High Court decision in favour of assessee chose to follow the ITAT decision to the contrary, by observing that he must follow ITAT decision. Here, we note that Ld.CIT(A) has grossly misled himself with respect to the cannons of judicial discipline. It is settled law that when on an issue there is no jurisdictional High Court decision other Hon’ble High Court decision has to be followed by subordinate Courts and Tribunals. Hence Ld.CIT(a) should have followed the Hon’ble High Court decisions in favour of assessee. By writing that Hon’ble Supreme court has dismissed the SLP against those orders without any discussion on merits, Ld.CIT(A) has further displayed his scant regard to the principle of stare decisis. The dismissal of S.L.P without a speaking order by Hon’ble Supreme Court does not in any manner reduce the precedential value of Hon’ble High Court decision. Hence, we set aside the order of Ld.CIT(A) and direct that the deduction u/s 54 claimed by the assessee is to be allowed.
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