9911796707
TMI Blog2019 (8) TMI 331X X X X Extracts X X X X X X X X Extracts X X X X ..... ther and disposed of by way of this consolidated order. 2. Facts of ITA No. 145/VIZ/2018, in brief, are that the assessee is a non-resident is having immovable property admeasuring site of 541 sq.yds. along with tiled house at survey No.1008, D.No. 7-5-24 situated at Maitreya Nagar Layout, Visakhapatnam. The property was given for development on 60:40 basis to M/s. MSR Life Care Services Pvt. Ltd., Visakhapatnam along with her husband. The said document was registered before SRO, Visakhapatnam vide document No. 2785/08, dated 21/07/2008 for Rs. 2,23,44,500/-. Subsequently, a rectification deed was entered on 25/02/2009, as per which the total land given for construction is 991.11 sq.yds., out of which the assessee and her husband will get ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essee has entered into a development agreement on 21/07/2008 and the building has to be completed within three years from the date of agreement i.e. on or before 20/07/2011 to avail exemption u/sec.54. Since the assessee has not completed the construction within the stipulated period, the Assessing Officer disallowed the claim of exemption made u/sec. 54 of the Act. 4. On appeal, ld. CIT(A) confirmed the order of the Assessing Officer. 5. On being aggrieved, assessee carried the matter in appeal before this Tribunal. 6. Ld. counsel for the assessee has submitted that assessee has transferred the capital asset to the builder. According to the agreement, building has to be completed within a period of three years and the builder also compl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the flat allotted to the assessee has been sold on 28/02/2011, therefore, construction is completed within the stipulated period and submitted that assessee is eligible for exemption u/sec. 54 of the Act. Neither Assessing Officer nor ld. CIT(A) has not been accepted the explanation of the assessee. Before us, the assessee has reiterated the same and further submitted that there are some minor repair works, hence, there is a delay in obtaining the completion certificate, therefore on that count, exemption claimed cannot be denied. We find that assessee has transferred the land to the builder and the builder has to construct the building within a period of three years. In this case, according to the certificate submitted by the builder, th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... produced completion certificate from the municipal authority, exemption u/sec. 54F could not be denied on the ground that the construction was not completed within the specified period. Keeping in view of the facts and circumstances of the case and also by following the judgments of the Hon'ble Karnataka & Madras High Courts, we are of the opinion that assessee's claim u/sec. 54 cannot be denied. Hence, the order passed by the ld.CIT(A) is cancelled and directed the Assessing Officer to allow the exemption claimed by the assessee u/sec. 54 of the Act. Thus, this appeal filed by the assessee is allowed. 10. So far as ITA No.146/VIZ/2018 is concerned, the facts involved in this appeal is similar to the facts of ITA No. 145/VIZ/2018, th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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