TMI Blog2007 (6) TMI 167X X X X Extracts X X X X X X X X Extracts X X X X ..... ered by P. P. S. Janarthana Raja, J. 1. This appeal is filed under Section 260A of the Income Tax Act, 1961 by the Revenue, against the order of the Income Tax Appellate Tribunal, Chennai Bench 'C', Chennai in I.T.(SS)A.No.169/Mds/2000 dated 05.11.2003 for the block assessment period 01.04.1988 to 20.08.1998. On 22.07.2004, this Court admitted the appeal and formulated the following substantial question of law:- "Whether on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in holding that there was no transfer of property by the assessee to M/s.Kalpaga Builders on 10.02.1995, i.e., within the block period ending 20.08.1998 within the meaning of Section 2(47)(v) of the Income-tax Act and no ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ), by the Revenue. On 13.08.2001, the assessee was asked as to why she had filed the Return in Form 2B voluntarily before the proceedings in that behalf initiated by the Department. By letter dated 17.08.2001, the assessee requested the Assessing Officer to consider the Block Return already filed as the one filed in response to the notice under Section 158BD issued by the Revenue. The Assessing Officer completed the Block Assessment for the said block period under Section 158BA of the Act r/w Section 158BD. The computation under the Block Assessment are as follows:- Asst year 1995-96 Rs.22,02,723 Asst year 1996-97 Rs. 27,718 Asst year 1997-98 Rs. 79,768 TOTAL INCOME ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Act. Hence the profit of sale of the land would automatically become short term capital gains assessable in the block period and more specifically pertaining to assessment year 1995-96. Hence the Assessing Officer is right in assessing it for the assessment year 1995-96 for the block period. 6. Learned counsel appearing for the assessee submitted that once the ingredients of Section 53A of the Transfer of Property Act is not satisfied, Section 2(47)(v) of the Income-tax Act cannot be invoked. It is further submitted that there is no written agreement between the assessee and the builder, which is the basic requirement for invoking the provision of Section 53A of the Transfer of Property Act. It is also further submitted that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the law for the time being in force, the transferor or any person claiming under him shall be debarred from enforcing against the transferee and persons claiming under him any right in respect of the property of which the transferee has taken or continued in possession, other than a right expressly provided by the terms of the contract: Provided that nothing in this section shall affect the rights of a transferee for consideration who has no notice of the contract or of the part performance thereof." 8. In the case of Nathulal Vs. Phoolchand , AIR 1970 SC 546, the Apex Court considered the scope of Section 53A of the Transfer of Property Act and held as follows (page 548) :- "(1) that the transferor has contracted to transfer for ..... X X X X Extracts X X X X X X X X Extracts X X X X
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