TMI Blog2016 (8) TMI 951X X X X Extracts X X X X X X X X Extracts X X X X ..... and copies of bank statements, etc. placed before him, that even though the assessee is shown as the co-owner of the said property, the source of funds for investment in purchase of the said property is by the assessee’s husband and that the property was reflected in his Balance Sheet from the period relevant to A.Y. 2005-06 (i.e. 31.03.2005) till its sale, after which the STCG arising thereon was admittedly disclosed by the assessee’s husband in his return of income. In this factual matrix of the case, we concur with the finding rendered by the learned CIT(A) that the entire STCG arising on sale of the said property is to be assessed in the hands of Sri Arjun Bulchandani, the assessee’s husband and not in the assessee’s hands and consequen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee, Sri Arjun Bulchandani was the owner of the said property and on sale thereof in the period under consideration, the capital gains arising therefrom was disclosed in his return of income. It was further submitted before the AO that though the assessee s case reopened for A.Y. 2005-06 for considering the investments made in the acquisition of the said property, the AO after examining the issue accepted that, though the said flat/property was in the joint names of the assessee and her husband, the whole investment in acquisition of the said property was made by her husband, Sri Arjun Bulchandani. The AO in the case on hand, however, did not accept the explanation put forth by the assessee. He was of the view that the whole arrangement surr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... G on sale of the said property. 3.1 Revenue, being aggrieved by the order of the CIT(A)-2, Mumbai dated 09.11.2012 for A.Y. 2009-10, has preferred this appeal raising the following grounds: - 1. On the facts and in the circumstances of the case and in law, whether the Ld. CIT(A) was justified in deleting the short term capital gain of Rs. 45,38,254/- arising out of sale of residential flat jointly held by the assessee. 2. The appellant prays that the order of the CIT (Appeals) on the above ground be set aside and that of the Assessing Officer be restored. 3. The appellant craves leave to amend or alter any ground or add a new ground which may be necessary . 3.2 From a perusal of the grounds raised (supra), it is s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d Sri Arjun Bulchandani and Shri Ashwin Bulchandani, it was purchased totally out of the funds of her husband s account; the said property was reflected as part of his immovable property in his personal Balance Sheet and consequently on sale thereof, the STCG arising therefrom was reflected in the return of income filed by her husband, Sri Arjun Bulchandani. It was also submitted that though the assessment for A.Y. 2005-06 in the assessee s case was re-opened for considering her investment, inter alia, in the said property, the AO had accepted the fact that though the assessee s name appeared as a co-owner, the entire investment in the acquisition thereof was made by her husband. It was argued that, in these factual circumstances, the AO s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sale of the said property in the period under consideration was not disclosed in the assessee s return of income. The explanation put forth by the assessee, that though the assessee s name appeared as one of the joint owners, the investment in the said property was made entirely by her husband out of his account; was reflected in his personal Balance Sheet from acquisition till disposal and the STCG arising on sale therefrom was disclosed in his return of income for the relevant period, was brushed aside by the AO. The AO was of the view that since the assessee s name appeared in the agreement, she was liable to be taxed for 50% of the STCG arising from sale of the said property, observing that since the assessee s husband had set off the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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