TaxTMI 
TaxTMI 
2017 (1) TMI 183
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....issuance of notice u/s 148 of Income tax act 1961 is bad in law and liable to be quashed. 3. That the authorities below were not justified in law and fact not allowing /confirmations of addition on account of deduction under section 54B of IT Act, 1961 in respect of investment made by the assessee in purchasing the agriculture land in the name of his wife for Rs. 1581540.00 and his own name on 05.04.2008 for Rs. 568240.00 4. That the CIT (A)-3 JAIPUR has erred in law and fact in not allowing the deduction u/s 54F in respect of investment of Residential house for Rs. 800000.00 on the land in the name of his wife. 5. That the Assessment order is bad in law and contrary to the facts of the case." 2. At the time of hearing, the ld. C....
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....fore us. 6. The 3rd ground of the appeal is against confirming the addition on account of disallowance of deduction U/s 54B of the Act. The ld. AR of the assessee has reiterated the submissions as made in the written submissions and has further submitted that as per Section 54B of the Act, the deduction is available if the assessee purchased any other land for being used for agricultural purposes. He has submitted that the section nowhere provides that such agricultural land should be purchased by the assessee in its own name. He also submitted that the assessee made investment of Rs. 15,81,540/- in purchase of agricultural land in the name of his wife. There is no dispute as to the fact that the source of such investment is out of the agr....
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....#39; and not a 'liberal interpretation', as contended by the learned counsel for the appellant. If the word 'assessee' is given a liberal interpretation, it would tantamount to giving a free hand to the assessee and his legal heirs and it shall curtail the revenue of the Government, which the law does not permit. Ld. DR has further submitted that the wife of the assessee would not come within the ambit of the word 'assessee' and she submitted that the authorities below have rightly decided this issue against the assessee. 8. We have heard the rival contentions of both the parties, perused the material available on the record and also gone through the orders of the authorities below. The undisputed facts remain that the asse....
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.... subsequently enabling the assessee to claim exemption under Section 54b of the Act must be given a wide and liberal interpretation so as to include his legal heirs also. The provisions contained in Section 54b of the Act being socio-welfare and beneficial in nature were required to be construed liberally in favour of assessee, but the learned Tribunal arbitrarily disallowed the claim of the appellant-assessee and upheld the findings of the CIT (A) observing that no deduction under Section 54B of the Act would be available to the assessee-appellant on the issue of purchase of land in the name of his son and daughter-in-law, hence the impugned order needs to be set-aside. 6. Having heard the learned counsel for the appellant and carefully....
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....tances of the case, is found to have rightly disallowed the exemption under Section 54B of the Act. 10. The impugned order passed by the learned Tribunal is just and apposite, based on cogent findings, with which we fully concur and thus, the same warrants no intervention." In view of the above binding precedent, we do not seen any reason to interfere in the order of the ld. CIT(A), therefore, the same is hereby affirmed. Accordingly, this ground of assessee's appeal is dismissed. 9. The 04th ground of the appeal is against disallowance of deduction U/s 54F of the Act. The ld. Counsel of the assessee has submitted that the authorities below have failed to appreciate the fact of Section 54F of the Act, does not envisage that the land s....
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....ction was carried out by the wife of the assessee out of her own funds so as to deny the assessee the benefit of deduction under section 54F of the Act. 25. If that is to be accepted as finding of fact then we find no impediment in the assessee's claim for relief under section 54F, as the assessee had claimed relief to the extent of Rs. 20,96,008 as his contribution towards the cost of construction of the building and this amount we find that will fall within the cost of the building. Accordingly, questions (i) and (ii) are answered in the affirmative and against the Revenue." 10. On the contrary, the ld. DR has vehemently supported the order of the ld. CIT(A). 11. We have heard the rival contentions of both the parties, perused t....