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2022 (12) TMI 170 - AT - Income TaxExemption u/s 54B - cost of acquisition and cost of improvement - AO in this case rejected the assessee’s claim and held that in the absence of agreement to sell the rights acquired by provisional booking of the property did not meet the requirements spelt out u/s 54 of the Act i.e. acquisition of new capital asset - HELD THAT:- Delhi High Court in the case of CIT Vs. Ram Gopal [2015 (2) TMI 500 - DELHI HIGH COURT] allowed the claim for exemption/deduction u/s 54 of the Act referring to the decision of the Delhi High Court in the case of Gulshan Malik [2014 (3) TMI 474 - DELHI HIGH COURT]. We noticed that the Hon’ble Delhi High Court observed that the decision of SURAJ LAMP & INDUSTRIES PVT. LTD. [2011 (10) TMI 8 - SUPREME COURT] is of no consequence because the Hon’ble Apex Court had dealt with whether a sale transfer based upon confirming a GPA amounted to sale/conveyance but the Hon’ble Apex Court did not consider and had no occasion to deal with section 2(14) and section 2(47) of the Act in the context of a claim of acquisition of rights of property and interest in a capital asset for the purpose of Income tax. The principles of this decision of the Delhi High Court in the case of CIT Vs. Ram Gopal [2015 (2) TMI 500 - DELHI HIGH COURT] applying to the facts of the present case, we hold that there is no infirmity in the order passed by the Ld.CIT(Appeals) in allowing the exemption claimed u/s 54B of the Act as claimed by the assessee. Thus, we sustain the order of the Ld.CIT(A) and reject the grounds of Revenue.
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