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2016 (7) TMI 380 - ITAT AHMEDABADDisallowance of deduction claimed u/s 54F - cost on improvement - assessee failed to claim the deduction as cost on improvement rather it was claimed as deduction u/s 54F of the Act at the time of filing of revised return - Held that:- On examining the facts of the case of assessee with respect to the provisions of section 54F of the Act it seems that assessee is trying to take benefit of section 54F of the Act by one way or the other without placing on record any satisfactory evidence to prove that investment has been made in residential house and is only bending to an agreement that too made on the last day of the Asst. Year which has not attained finality in the subsequent period. As at the time of filing revised return of income assessee has claimed deduction u/s 54F of the Act for ₹ 3,06,250/- claiming the same as investment in residential house but when the matter came up before ld. CIT(A) the facts relating to the impugned claim of ₹ 3,06,250/- were put forth by the assessee through which it was made clear that ₹ 3,06,250/- was actually the cost of improvement which the assessee was entitled to deduction from the sale consideration. This fact gets further proved when we looked into the income-tax return of other co-owners who have claimed deduction as cost of improvement incurred towards construction of the immovable property which has been sold thereafter. However, assessee failed to claim the deduction of ₹ 3,06,250/- as cost on improvement rather it was claimed as deduction u/s 54F of the Act at the time of filing of revised return. In these circumstances, we are of the considered view that assessee is not eligible for any deduction u/s 54F of the Act as there has been no investment in a residential property and also the claim of the assessee for getting deduction of ₹ 306,250/- incurred towards cost of construction, to be reduced from the sale consideration of ₹ 7,50,000/- shown, cannot be entertained as it was not claimed in the return of income and certainly one cannot get the benefit of rightful claim if it has not been put forth in the return of income and in the given case assessee has changed the stories for getting deduction of ₹ 3,06,250/- and has miserably failed to make proper claim at the right place. - Decided against assessee
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