TMI Blog2021 (7) TMI 159X X X X Extracts X X X X X X X X Extracts X X X X ..... though not transferred to the capital gain deposit scheme account Therefore, in the interest of justice, we hereby remit the matter back to the file of the Ld. AO to verify whether the assessee has deposited the entire sale proceeds in any of the Nationalised Bank and if found so then the Ld. AO is hereby directed to grant the benefit of deduction provided all the other conditions stipulated under the Act are complied with - Appeal of the assessee is allowed for statistical purposes. - ITA No.1418/Hyd/2019 - - - Dated:- 1-7-2021 - Shri A. Mohan Alankamony, Accountant Member For the Assessee : Shri G. Manikya Prasad For the Revenue : Shri P. Suresh, DR ORDER This appeal is filed by the assessee against the order of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ter allowing an opportunity to the assessee of being heard vide order dated 27/11/2017. The Ld. AO after examining the facts of the case arrived at the conclusion that the assessee had not deposited the sale proceeds of ₹ 15,56,350/- in the capital gains deposit accounts scheme maintained with any Nationalised Bank as per section 54F(4) of the Act and therefore, disallowed the claim of deduction and assessed the LTCG in the hands of the assessee at ₹ 12,26,790/-. On appeal, The Ld. CIT (A) confirmed the order of the Ld. AO by agreeing with his view by passing an ex-parte order. 4. Before me, the Ld. AR submitted that the assessee had deposited the sale proceeds of ₹ 15,56,350/- in the Nationalised Bank though it was not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and carefully perused the material on record. At the outset we find this issue squarely covered by the decision of the Chennai Bench of the Tribunal in ITA No.1167/Mds/2016 vide order dated 15.09.2016 wherein on the identical situation it was held that such small technical breach will not disentitle the assessee the benefit of Section 54 of the Act. The gist of the decision is reproduced herein below for reference:- 8. We have heard the riva l submissions and carefully perused the materials available on record. In the decision of Shri Madhuvan Prasad Vs. ITO, supra the Chennai Bench of the Tribunal has allowed the benefit of section 54 of the Act because the assessee had fulfilled all the conditions prescribed under section 54 of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the assessee. The assessee had proceeded to comply with the provisions of section 54 of the Act but has only made a small technical breach which we are of the considered view should not disentitle the assessee for the benefit of section 54 of the Act. Therefore, we hereby direct the learned Assessing Officer to grant the benefit of section 54 of the Act to the assessee and accordingly delete the addition made by him which was further sustained by the learned Commissioner of Income Tax (Appeals). 7.1 Further the Ld.CIT(A) has also followed the decisions of various higher Judiciary wherein the issued is held in favour of the assessee in similar circumstances. Therefore we do not find it necessary to interfere with the order of the L ..... X X X X Extracts X X X X X X X X Extracts X X X X
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