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2022 (3) TMI 1337 - AT - Income TaxDisallowance u/s 54F - assessee has sold the immovable property within the definition of capital asset in India - reason for denying benefit of 54F by the AO as well as the Ld.CIT(A) was solely on the ground that the assessee has reinvested the amount in USA in the residential house property - HELD THAT:- In our considered opinion, once, the assessee invested the long term capital gain in buying the residential house either in India or outside India prior to 01.04.2015, the assessee is entitled for exemption. The literal meaning of construction of ‘a residential house’ used in section 54 cannot be restricted to only purchasing or constructing or acquiring “a residential house within India”. In our considered opinion, the golden rule of interpretation as envisaged in law is required to be applied. In our view, when the statue is clear and unambiguous, then the Tribunal or court should refrain from adding any meaning or word which has not been provided by the statute, to the provision , while interpreting the section . Undoubtedly, the word used in section 54 is “a residential house” and not “a residential house in India”, therefore, it will be violation of literal interpretation of statute, if we read a residential house as residential house in India. The Tribunal is bound to interpret the law within four corners of statute and refrain from inserting any word in the statute and it would amount to legislating the Act. - Appeal of assessee allowed.
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