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2019 (3) TMI 1034 - ITAT MUMBAIDeduction u/s 54 - investment in multiple flats - HELD THAT:- Interpretation of the word "a" preceding the expression "residential house" has been given wherein it has been observed that "a residential house" should not be understood to indicate a singular number. In the cited case of CIT vs. Devdas Naik [2014 (7) TMI 173 - BOMBAY HIGH COURT] observed that deduction u/s 54 would be available if the flats were used a single unit and used as one house for purpose of residence even if acquisition of flats were done independently. From the above factual matrix coupled with binding judicial precedents, it is clear that deduction u/s 54 would be available to the assessee on account of investment in multiple flats it the same were being used as a single unit. In the present case, we find that this condition has been fulfilled by the assessee. Therefore, in our considered opinion, the assessee was eligible to claim deduction on account of investment made in multiple adjoining flats. computation of capital gain u/s 48 - Deduction of property tax and other payment made to BMC - HELD THAT:- So far as the deduction of BMC Property Tax for ₹ 12 Lacs is concerned, the same could not be said to have been incurred wholly and exclusively in connection with the transfer of the property in terms of Section 48 and the deduction of the same has rightly been denied to the assessee. - decided against assessee The other amount stated to be paid by the assessee has been denied for want of requisite explanation before AO. The assessee, in support of the same, has placed on record the relevant receipts. Therefore, the issue of deduction of ₹ 21 Lacs stands remitted back to the file of AO for re-adjudication after appreciating the nature of the payment. The assessee, in turn, is directed to substantiate his claim, in this regard with supporting documents. This ground stand partly allowed for statistical purposes.
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