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2024 (5) TMI 689 - ITAT BANGALORELTCG - deduction u/s 54F - as pursuant to the JDA, assessee had received multiple residential units and not a single residential unit - Scope of amendment - AO disallowed the claim of deduction in respect of 14 apartment units and allowed the benefit of investment only on one apartment unit by interpreting as “a residential house” - HELD THAT:- The provisions of section 54F of the Act was amended vide Finance (No.2) Act, 2014 with effect from 01.04.2015 and has withdrawn deduction for more than one residential unit with effect from 01.04.2015 by replacing word "a" with "one". In this context, it is relevant to mention that the Hon'ble jurisdictional High Court, prior to the amendment, in the case of CIT v. Smt. K. G. Rukminiamma [2010 (8) TMI 482 - KARNATAKA HIGH COURT] had held that "residential unit house", used in section 54 makes it clear that it was not the intention of the legislature to convey the meaning that it refers to a single residential house. It was held by the Hon'ble High Court that if that was the intention, they would have used the word "one".Therefore, the letter "a" in the context it is used should not be construed as meaning "single". It was concluded by the Hon'ble High Court that, being an indefinite article, the said expression should be read in consonance with the other words "buildings" and "lands" and, therefore, the singular "a residential house" also permits use of plural by virtue of section 13(2) of the General Clauses Act The Hon’ble Madras High Court in the case of CIT Vs. Smt. V. R. Karpagam [2014 (8) TMI 899 - MADRAS HIGH COURT] had categorically held that the principles mentioned in section 54 of the Act is to be applied paripassu to section 54F of the Act. In view of the aforesaid judicial pronouncement, we hold that assessee is entitled to the benefit of section 54F of the Act in respect of all the units received by the assessee pursuant to the JDA, since the relevant Assessment year is prior to the amendment to section 54F of the Act (i.e., 01.04.2015). It is ordered accordingly.
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