TMI Blog2018 (9) TMI 282X X X X Extracts X X X X X X X X Extracts X X X X ..... ng-term capital gain - Held that:- We direct the Assessing Officer to verify this aspect and allow appropriate relief to the assessee on such verification. Disallowance of promotion expenses - Held that:- A copy of the ledger account of the exhibition expenses shows that the expenditure in question was incurred by the assessee for participating in the exhibitions organized at Chennai, Ahmedabad and Rajkot. In our opinion, although the said expenditure was not fully supported by the relevant supporting documentary evidence as pointed out by the authorities below making it unverifiable, the same cannot be entirely disallowed keeping in view the nature of the assessee’s business and it would be fair and reasonable to disallow the said expe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or, Golf Towers, 9, Prince Golam Muhammad Shah Road, Kolkata-700 095, which was sold for a sale consideration of ₹ 1 crore. During the course of assessment proceedings, the revised computation of long-term capital gain was furnished by the assessee. As per the said working, the said flat was purchased by the assessee on 16.12.2003 for ₹ 18,04,000/- and after claiming deduction on account of the indexed cost of acquisition, long-term capital gain of ₹ 52,67,285/- was shown by the assessee. The said long-term capital gain to the extent of ₹ 33,36,820/- was claimed to be exempt by the assessee under section 54 being investment made in her residential property at Mumbai and the balance amount of ₹ 19,30,465/- was o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... possession of the assessee even after the expiry of the cut off period prescribed in section 54. Accordingly the claim of the assessee for exemption under section 54 was disallowed by the Assessing Officer and the long-term capital gain of ₹ 66,02,007/- was brought to tax by him in the hands of the assessee vide an order dated 31.12.2015 passed under section 143(3). 3. Against the order passed by the Assessing Officer under section 143(3), an appeal was preferred by the assessee before the ld. CIT(Appeals) and after considering the submissions made by the assessee as well as the material available on record, the ld. CIT(Appeals) confirmed the action of the Assessing Officer in disallowing the claim of the assessee for exemption und ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... quite correctly stated that as per the provisions of Section 54 of the LT. Act, 1961, exemption is admissible on profits on sale of property used for residence only if the following primary conditions are fulfilled: a) That the assessee has purchased a residential house within one year before the date of sale/transfer of the original asset. Or b) That the assessee has purchased a residential house within two years after the date of sale or transfer of the original asset. Or c) That the assessee has constructed a residential house within three years after the date of sale or transfer of the original asset. 3. On examination of the matter, I find myself in agreement with the Ld. AO that the assessee's claim of exem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at the claim of the assessee of having purchased the new flat was not supported by any registered agreement for sale executed by the assessee with the concerned developer. As noted by them, the said claim was based merely on the provisional allotment letter issued by the concerned developer, wherein it was clearly stated that the assessee was not having any right, title, interest or lien of any nature whatsoever in the flat until the agreement for sale was executed and registered with the Office of the Sub-Registrar. Even at the time of hearing before the Tribunal, no such agreement for sale executed and registered with the office of the Sub-Registrar has been filed by the assessee to support and substantiate her claim of having purchased t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd that the claim of the assessee for exhibition expense to the extent of ₹ 46,994/- was not duly supported by the relevant documentary evidence. He, therefore, disallowed the said expenses to the extent of ₹ 46,994/-. During the course of appellate proceedings before the ld. CIT(Appeals), certain vouchers were filed by the assessee in support of her claim for the exhibition expenses of ₹ 46,994/-. When the said vouchers were forwarded by the ld. CIT(Appeals) to the Assessing Officer for verification, the Assessing Officer in his remand report pointed out certain deficiencies and discrepancies to show that the relevant expenditure was unverifiable. The ld. CIT(Appeals) accordingly confirmed the disallowance made by the Ass ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
