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2020 (6) TMI 319 - ITAT BANGALOREBenefit of exemption u/s 54F - purchase of new residential house OR a case of construction of a new house - it is a case of revenue the construction of the property acquired by the assessee and since construction is required to be within prescribed time after the date of sale of the capital asset on which capital gain has arisen and in the present case, the construction is before the date of transfer, deduction is not allowable to the assessee under section 54F - HELD THAT:- It is a case of purchase of residential house property which was purchased on 16.07.2015 as noted by learned CIT(A) and the date of sale / transfer of the capital asset on which the capital gain has arisen is 28.08.2015 / 30.09.2015 and therefore, the purchase of residential house is within the period of one year before the date of transfer and therefore, deduction under section 54F is allowable. To what extent the deduction is allowable to the assessee because the residential house was acquired by the assessee jointly with his daughter - How much amount was invested by the assessee and how much amount was invested by his daughter for acquiring this new residential house property? - CIT(A) has held that even if deduction is allowed to the assessee under section 54F of the Income Tax Act, 1961, the deduction allowable cannot be more than 50% of investment in the new asset and he has also stated that since the entire exemption is already been disallowed in the present case, this issue is not being discussed further. Under these facts, we feel it proper to restore back this aspect of the matter to the file of learned CIT(A) for the purpose of deciding by way of speaking and reasoned order about the quantum of deduction allowable in the present case under section 54F after finding out these facts as to what is the amount of investment made by the assessee in the new house and what is the amount of investment made by his daughter in the said new house as the daughter of the assessee is a joint holder. Appeal of the assessee stands allowed for statistical purposes
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