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2017 (12) TMI 1235 - HC - Income TaxDisallowance of exemption u/s 54EC while computing the Long-Term Capital Gain on the sale of immovable property - Held that:- In the present case, the Appellate Tribunal has taken into consideration various clauses in the development agreement. Sub-clause (d) of clause (3) of the agreement provides that after full payment of consideration, the construction shall be undertaken by the developer. Admittedly, on the date of execution of the development agreement, the entire consideration was not received by the respondent-assessee. The physical possession of the property subject matter of development agreement was parted with by the respondent-assessee on 1st March, 2008. It was held that on that day, complete control over the property was passed on to the developer. After having perused the various clauses in the agreement and the aforesaid factual aspects, the Tribunal has taken 1st March, 2008 as the date of transfer. This finding is fully consistent with the law laid down by the Division Bench in the case of Chaturbhuj Dwarkadas Kapadia (2003 (2) TMI 62 - BOMBAY High Court). Therefore, no fault can be found with the impugned judgment of the Tribunal when it was held that the investment made in the sum of ₹ 50,00,000/by the respondent-assessee on 22nd August. 2008 was within the period specified under Section 54EC of the said Act.
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