TMI Blog2000 (9) TMI 65X X X X Extracts X X X X X X X X Extracts X X X X ..... ?" The factual position essentially is as follows : The assessee is a Hindu undivided family (in short, "HUF"). Its original karta K. C. Sahni died in 1967. His wife also died in 1970. For the assessment year in question, i.e., 1973-74, the members of the Hindu undivided family were B. N. Sahni and Shri K. L. Sahni, who had their own family members also. Shri B. N. Sahni was the karta at the relevant time. The family owned a house at No. 23, Aurangzeb Road, New Delhi. It was sold for Rs. 15 lakhs by a deed of conveyance dated May 26, 1972. Subsequently, on May 15, 1973, the assessee purchased another property at Hauz Khas, New Delhi for Rs. 4,73,000. The claim of the assessee before the Assessing Officer was that the above amount should ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... also occupied by B. N. Sahni from December 15, 1974, till the assessment was made. These documents were letters from the MCD fixing the ratable value of the property, certificates from educational institutions and bills of electricity and water charges as also various letters addressed to the members of the family at the Hauz Khas residence. Since such evidence was produced before the Appellate Assistant Commissioner for the first time, he allowed an opportunity to the Assessing Officer to look into it and called for a report from her. After examining the record, the Appellate Assistant Commissioner found that K. L. Sahni first resided at No. 15, Nizamuddin East, which was. purchased by him on July 24, 1952. After occupying it for a few mon ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re is no appearance on behalf of the assessee in spite of service of notice. Learned counsel for the Revenue submitted that even if it is accepted that the house was being used for residence of the members of the Hindu undivided family, that itself was not sufficient to bring in the application of section 54, which as it stood at the relevant time, reads as follows : "54. Where a capital gain arises from the transfer of a capital asset to which the provisions of section 53 are not applicable, being buildings or lands appurtenant thereto the income of which is chargeable under the head 'Income from house property' which in the two years immediately preceding the date on which the transfer took place, was being used by the assessee or a par ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... preceding the date of transfer, and (e) the assessee has either within a period of one year before or after the date of transfer purchased a house property for the purposes of his own residence or has within a period of two years from the date of the transfer constructed a house property for the purpose of his own residence. The crucial words, according to us, appearing in the provisions are "being used by the assessee or a parent of his." Reference was to the assessee as an individual, otherwise the question of parents of his would not have arisen. Additionally, the expression, "for the purpose of his own or his parent's own residence" has been used. The requirement for getting the deduction is that "the assessee" constructs a house p ..... X X X X Extracts X X X X X X X X Extracts X X X X
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