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2023 (4) TMI 852 - AT - Income TaxLong term capital gain - relevant date for claiming benefit of Indexation - Property received under WILL - Period of holding of previous owner - sale of immovable property - as AO held that the benefit of indexation will be available only from the financial year 2007-08 instead of the financial year 1981-82 as claimed by the assessee - AO granted the deduction on an ad-hoc basis @2% towards all expenses incurred on transfer by the assessee - CIT-A granted partial relief to the assessee - HELD THAT:- On similar issues, as raised in the present appeal, the coordinate bench of the Tribunal in the case of the brother of the assessee Sohrab Fali Mehta [2023 (4) TMI 467 - ITAT MUMBAI] for the assessment year 2016-17 partly allowed the appeal filed by the Revenue wherein held assessee would be entitled for indexed cost of acquisition benefit from F.Y.1981-82 on the cost. Also partial allowance of expenditure incurred wholly and exclusively in relation to the transfer of the subject mentioned property. Computing the long-term capital gains as per provisions of section 50C - HELD THAT:- As decided in case Maria Fernandes Cheryl vs ITO [2021 (1) TMI 620 - ITAT MUMBAI] amendment made in the scheme of section 50C(1), by inserting third proviso thereto and by enhancing tolerance band for variations between stated sale consideration vis-à-vis stamp duty valuation from 5 percent to 10 percent are effective from the date on which section 50C, itself was introduced, i.e 1-4-2003. Thus we direct the AO to compute the capital gains after granting the benefit of the 3rd proviso to section 50C of the Act to the assessee. As a result, ground No. 4 is allowed for statistical purposes.
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