TMI Blog2013 (1) TMI 848X X X X Extracts X X X X X X X X Extracts X X X X ..... gains arising to the assessee from the sale of ancestral joint property. 3. The assessee in the present case is an individual who is employed with M/s. Sheth Developers Pvt. Limited. The return of income for the year under consideration was filed by him on 19.3.2009 declaring total income of ₹ 2,51,044/-. After having received the information about the transactions entered into by the assessee of sale of property, which was not reflected in the return of income, the case of the assessee was taken up by the Assessing Officer for scrutiny. During the course of assessment proceedings, the assessee was called upon the Assessing Officer to explain why the transaction of transfer of immovable property was not reflected in the return ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act vide order dated 20.12.2010. 4. Against the order dated 20.12.2010 u/s. 143(3), an appeal was preferred by the assessee before learned CIT(A) challenging the addition made by the Assessing Officer on account of long term capital gains. During the course of appellate proceedings, the following submissions were made on behalf of the assessee in support of his claim that long term capital gains arising from the transfer of property was nil : (1) Appellant declares income of ₹ 2,51,644/- in the return of income. Appellant sold a house property alongwith other 12 co-owners ancestral property on 1.9.2007. His 8.33% share amounted to ₹ 49.98 lakhs. This amount was invested by appellant in REC Bonds and in capital gains ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... me has to be assessed. According to the provisions of section 54EC when capital gain arises from the transfer of long term capital asset and the assessee anytime within a period of 6 months after the date of such transfer invests the whole or any part of that gain in specified assets there will be either no capital gain will not be charged proportionately. In the case of the appellant he has invested the entire amount in specified assets. Therefore, whether a claim is made or not once capital gain is assessed the relevant deduction u/s. 54EC has to be given according to law, if at all the appellant has invested the gain in the specified assets. The Assessing Officer is directed to allow deduction u/s. 54EC after verifying whether appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... im of deduction u/s. 54EC of the Act in the return of income filed for the relevant assessment year. 3) On the facts and circumstances of the case and in law, learned CIT(A) failed to appreciate that there cannot be any fresh claim of deduction without claim being made in the return of income of without filing a revised return of income as held in the case of Goetz (India) Ltd. by the Hon'ble Supreme Court (284 ITR 323). Grounds raised by assessee in C.O. :- 1) On the facts and circumstances of the case and in law, learned CIT(A) erred in refusing to allow a deduction under the second proviso to section 48(ii) to the assessee, while computing his long term capital gains. 2) On the facts and circumstance ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 7 days on the part of the assessee in filing the said cross objection. 10. In this regard, the assessee has moved an application seeking condonation of the said delay on the following grounds :- The Respondent says and submits that the copy of the Valuation Report of the property which has been the subject matter of long term capital gains was not available with the Respondent. He had to approach his brothers to get a copy available with them. This tool some time and he has been able to get the one on 30.6.2012. As this is the document supporting the claim for deduction u/s. 48(ii), the Respondent could not furnish his cross objections, unless he got hold of the same and could produce before the Hon'ble Bench of this Tribuna ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ugned order of learned CIT(A) on 24.6.2011. Keeping in view this submission made by the assessee as well as relevance of the valuation report of the property filed as an additional evidence to decide the issue relating to the assessee s claim for deduction u/s. 48(ii), we are of the view that the same should be admitted in the substantial interest of justice. Accordingly, we admit the additional evidence and restore the issue to the file of the Assessing Officer for deciding the claim of the assessee for deduction u/s. 48(ii) on merit in the light of the said additional evidence in accordance with law after giving the assessee an opportunity of being heard. 13. In the result, appeal of the revenue is dismissed while cross objection of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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