TMI Blog1982 (2) TMI 19X X X X Extracts X X X X X X X X Extracts X X X X ..... " The facts giving rise to this reference are as follows : The assessee is a private limited company. The relevant assessment year is 1965-66, for which the relevant previous year was the year ending on 31st March, 1965. The assessee was the owner of a building called Shabbir Building. The assessee agreed to sell the said property to Bhanpat Mahadeo and Shanker Hiralal Misra. On 28th August, 1959, the said purchasers paid a sum of Rs. 10,000 as earnest money to the assessee. The balance of the consideration for the Purchase of the property was paid to the assessee on or about 22nd February, 1960. On 15th February, 1960, possession of the said property was handed over by the assessee to the purchasers and due attornments were made by info ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... anuary, 1960, the consideration of Rs. 4,00,000 was paid to the assessee. The assessee thereupon wrote to the tenants requesting them to attorn their tenancies to the trustees and pay them rent from January 1, 1960. The sale deed was, however, executed only in February, 1962. On the question whether for the assessment years 1961-62 and 1962-63, for which the relevant previous years were calendar years 1960 and 1961, the assessee was liable to be assessed on the income from the property, it was held that, even though the purchaser was put into possession with all the other rights incidental thereto, in the absence of a registered sale deed, as the value of the property exceeded Rs. 100, the transferee could not be regarded as " owner ", and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s view the Division Bench of the Allahabad High Court considered the decision of the Supreme Court in R. B. Jodha Mal Kuthiala v. CIT [1971] 82 ITR 570, and the ratio laid down therein. In Smt. Kala Rani v. CIT [1981] 130 ITR 321, it has been held by the Division Bench of the Punjab and Haryana High Court that before a person can be assessed under s. 22 of the Income-tax Act, 1961, it is not necessary that he must be the owner of the property by virtue of a sale deed in his favour. What is being taxed under s. 22 is the income from house property or the annual value of the property of which the assessee is the owner. The focus of the section is on the receipt of income from house property. If in a given case it is found as a fact that the a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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