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2017 (2) TMI 790 - AT - Income TaxDetermination of the ‘year’ of taxability of the capital gains arising on sale of residential Flat - Held that:- For completion of sale in absolute terms, fulfilment of all the three conditions mentioned above are must, i.e. execution of registration of conveyance deed, handing over of possession and payment of full consideration. In the case before us, only first condition was completed and the remaining two conditions were still pending to be executed and were not completed in the impugned year. In addition to that, all the legal formalities for affecting the transfer of the property in the name of purchaser were also not complied with and the same were completed only after payment of maintenance charges by the assessee to the said society. The said Flat came into full and exclusive control of the new purchaser only after when the possession of the same was handed over to them by the assessee on 26-06-2011. Thus, the said Flat was available for enjoyment by the purchaser only after the said date. Thus, taking into account all the facts and circumstances of the case, the sale of the Flat cannot be said to be completed in the year before us. Therefore, the resultant gain arising on the sale of the Flat concluded in the subsequent year could not have been brought to tax in the impugned year. Further, in any case, the taxable amount of capital gain has already been offered to tax by the assessee in the assessment year 2012-13 and has been accepted as such by the Revenue as per the information provided to us. Under these circumstances, it would not be justified to adopt a hyper technical approach and tax the same in this year also which will lead to double taxation and avoidable hardship to the assessee. Therefore, keeping in view the peculiar facts and circumstances of this case and in the interest of justice and all fairness we direct the AO to delete the addition. - Decided in favour of assessee
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