2001 (12) TMI 51

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....ata Bansal, Advs. JUDGMENT S.B. SINHA C. J. 1. The question which arises for consideration in this reference is as under: "Whether, on the facts and in the circumstances of the case, the Tribunal was correct in holding that the assessee had not purchased the property within one year from the date of sale of his residential house so as to be entitled to exemption under section 54 ....

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....e admittedly at the time of entering into the aforementioned agreement paid a sum of Rs.1,73,000 which would be more than the amount of Rs.98,000, which he received by way of consideration in terms of the transaction which took place on December 3, 1974. Section 54 of the Income-tax Act relates to profit on sale of property used for residence. The said provision reads thus: "54. Subject t....

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....ellate authority as well as the Tribunal rejected the claim of the assessee in respect of the assessment year 1975-76 on the ground that he did not become the owner of the property, as the said transaction was not evidenced by registration thereof as provided under section 17 of the Registration Act. For the purpose of attracting the provisions of section 54 of the Income-tax Act, it is not necess....

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.... each of his brothers and the assessee was, therefore, entitled to the relief under section 54(1)". The question now is no longer res integra having regard to the decision of the apex court in CIT v. Podar Cement Pvt. Ltd. [1997] 226 ITR 625. The apex court categorically held that section 22 of the Income-tax Act, 1961, does not require registration of sale deed. The meaning of the word "owner" in....