TaxTMI 
TaxTMI 
2019 (5) TMI 1255
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.... - 560 070, vide sale deed dated 16.05.2008 (i.e., in the period relevant to Assessment Year 2009-10) for a consideration of Rs. 46,65,000/-; but had not filed a return of income for Assessment Year 2009-10. The Assessing Officer (AO), on receipt of information initiated proceedings under section 147 of the Income Tax Act, 1961 (in short 'the Act') and after recording reasons that income exigible to tax, by way of the above transaction of sale of property, had escaped assessment, issued notice under section 148 of the Act on 29.03.2016. There was no response from the assessee. The AO, thereafter, issued notice under section 142(1) of the Act on 05.08.2016 to which also there was no compliance. Finally, since there was no response from the a....
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....for a report from the AO thereon. The AO submitted a remand report dated 30.01.2018 to the CIT(A) (copy placed at pages 4 and 5 of paper book) stating that he had verified the documentary evidence tendered by the assessee; reported that the assessee had claimed exemption under section 54 of the Act without filing the return of income for Assessment Year 2009-10 and finally submitted that the CIT(A) may decide the case on merits. 2.4 Thereafter, the CIT(A)-7, Bangalore, passed the impugned order dated 07.12.2018 dismissing the assessee's appeal. In the impugned order, the CIT(A) condoned the delay in filing the appeal on the basis of the explanations put forth by the assessee; i.e., inter alia, the non-receipt of impugned order of assessm....
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....s. 54 of the Act in respect of the capital gains on the sale of the residential house during the year cannot be admitted in terms of Rule 46A of the I.T.Rules, in course of the appellate proceedings under the facts and in the circumstances of the appellant's case. 2.1 The learned CIT[A] ought to have appreciated that the assessment of the appellant was reopened after 6 years from the end of the assessment year and all the notices were admitted and reportedly served on the last known address of the appellant, which was the property sold by the appellant for which the reassessment proceedings were initiated and therefore, there was sufficient cause as well as inadequate opportunity in course of assessment proceedings and hence, t....
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....; along with the documents for purchase of the new residential house No.190/2, 7th Cross, Kathriguppe East, Bangalore, for consideration of Rs. 37,50,830/- vide sale / purchase dated 22.05.2008; sale deed dated 16.05.2008 for sale of original property and purchase deed thereof dated 25.10.1985. I have also perused the AO's remand report dated 30.01.2018. Having considered the aforesaid, I proceed to dispose off these ground Nos. 2, 2.1, 3 and 4 (supra) hereunder. 5.2. These grounds (supra) relate to the only issue in this appeal with regard to the assessee's claim for exemption under section 54 of the Act on sale of the residential house at No.1200, 22nd A Cross, Banashankari II Stage, Bangalore - 560 070, vide sale deed dated 16.05.2008....
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....A) appreciated the reasonable cause put forth by the assessee for delay in filing the appeal, he has taken a different view in the mater of admission of additional evidence in terms of Rule 46A of the Rules. The CIT(A) held that there was no sufficient cause for admission of additional evidence which was also sought to be admitted on the ground that the assessee was not aware of the assessment proceedings and hence could not produce these documents before the AO. In my view, this approach of the CIT(A) appears to be incongruous and does not stand the test of reason. Rule 46A of the Rules prescribes circumstances under which additional evidence can be admitted after allowing opportunity to the AO. One of the conditions laid down in Rule 46A ....
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....re the CIT(A). As per this computation, it is seen that the assessee had computed the long term capital gains (LTCC) at Rs. 19,54,873/- on the sale proceeds of the said property at Rs. 46,65,000/-, after claiming indexed cost of acquisition. It is also seen that the assessee had purchased a residential property for a consideration of Rs. 37,50,830/- on 22.05.2008, i.e., within 7 days from the sale of original property on 16.05.2008. I also find that the AO, after examination of details / documents filed by the assessee before the CIT(A); has reported in his remand report dated 30.01.2018, that the documents produced by the assessee have been examined. No adverse remarks have been made by the AO with regard to the computation of LTCG as well....