TMI Blog2022 (11) TMI 1079X X X X Extracts X X X X X X X X Extracts X X X X ..... 0/- clearly proves that the assessee has no intention of declaring the capital gain in his return of income. Hence, we are of the view that the authorities below have rightly concluded that the entire capital gain is to be assessed in the hands of the assessee to the extent of his share and hence, we confirm the order of the lower authorities and dismiss this issue of assessee s appeal. Disallowance of eviction expenses - assessee now before us made submission that the entire details are available with him as regards to eviction payments and eviction expenses which the assessee could not produce before the CIT(A) and hence, he requested that to that extent, the matter can be restored back to the file of the AO because the same were partly produced before the AO just before the completion of assessment - HELD THAT:- After hearing both the sides on this issue, now we are of the view that the assessee is entitled for this claim but assessee has to prove this claim and file evidence. Hence, we restore this issue back to the file of the AO for fresh adjudication after verifying the evidences. This issue of assessee s appeal is set aside and allowed for statistical purposes. - ITA ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Sabesan Parameswaran (the assessee) Rs.30,00,000/- 3. S.Ramaswamy the power holder Rs.6,86,06,500/- 4. Amount of TDS Rs.7,43,500/- Total Rs.7,43,50,000/- 3.1 The AO required the assessee as to why he has not declared capital gain on entire sale consideration of property of Rs.7,43,50,000/-. The assessee before AO vide letter dated 26.12.2017 claimed that he has received only a sum of Rs.30 lakhs and the relevant text of the letter reads as under:- a) There was no sharing ratio as such between CT Saraswathi, my grandmother and me. The buyer of the property gave Rs.20 lacs to my grandmother CT Saraswathi and Rs. 30 lacs to me. My grandmother CT Saraswathi disclosed Rs.20 lacs received by her return of income for A. Y. 2015-16 and paid tax on the same. b) After my father's sudden demise on 3.8.2010 the burdern of my family came on my head. I was only 28 years old andI a Doctor by profession an anesthetist working in a hospital. I did not have and even now do not have knowled ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en received in his own account. As evidence of the same a tax deduction certificate in Form No. 16B has been issued by the Purchaser Mr.A. Saleem for Rs.7,43,500/- in favour of Shri. S. Ramaswamy. Thus the amount of Rs.6,86,06,500/- has been received by Shri. S. Ramaswamy in his individual Capacity. Even assuming that it is taxable it is begged to point out a very large amount of expenditure has been incurred by the my late father Shri.C.Sabesan in his life time and after his demise myself to evict illegal squatters and to protect the property from further encroachments in the cleared area and to defund the ownership against several litigations by the squatters and encroachments. 3.3 In view of the above letter, the assessee requested the AO to allow proportionate deduction of Rs.2,90,96,260/- on account of expenses incurred for removal of encroachment, eviction, illegal squatters etc. The AO has not accepted the reasoning or explanation submitted by assessee and also not allowed proportionate claim of Rs.2,90,96,260/- and assessed long term capital gain on entire sale consideration of Rs.7,43,50,000/- and by taking assessee s share of 2/3rd at Rs.4,92,63,696/- computed the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a PoA in favour of Shri S.Ramaswamy. (iv) By admitting only LTCG of an amount of Rs.29,81,660/- on account of the sale of land, the appellant showed that he had no intention of disclosing the capital gains in full. (v) The appellant's intention to conceal his income is further proved by the fact that the PAN of Shri S. Ramaswamy was only given for TDS purposes as if he was the only recipient of the sale consideration. 5.1 We also noted that the PoA and sale deed both are executed on the same day by assessee as well as the GPA Shri S. Ramaswamy on 19.02.2015. It means the PoA holder has no legal right or interest in the property and entire consideration belongs to assessee or other co-owner. Even otherwise, Shri S. Ramaswamy has not accounted for this consideration in his return of income or no capital gain is declared either short term or long term by Shri S. Ramaswamy, the PoA holder in his return of income. Hence, the CIT(A) and the AO has rightly concluded that receipt of 93% of sale consideration i.e., 6,93,50,000/-i.e., sale of land without any encumbrance on the date when GPA was executed including GPA of Rs.7,43,50,000/- clearly proves that the assessee has no ..... X X X X Extracts X X X X X X X X Extracts X X X X
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