TaxTMI 
TaxTMI 
2021 (4) TMI 129
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....ts of the case reveal that the assessee is a non-resident Indian and derives income from the capital gains and filed return of income showing the income as nil. The case of the assessee was selected for scrutiny and a notice was issued under Section 143 (2) and 142(1) of the Income Tax Act (hereinafter referred to as the 'the Act', for brevity). The asessee filed a reply and the assessing officer noticed that the assessee has sold the immovable property along with sister for a total consideration of Rs. 11,00,50,000/- and the assessee's share was worked out to Rs. 6,90,00,000/- and after claiming cost inflation index and improvement of Rs. 13,49,752/- long term capital gain determined at Rs. 6,76,02,248/-. Against the long term ....
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....ot applicable to assessment year 2013-14 which is subject matter in the instant case?" 4. The learned counsel for the assessee has straight away drawn the attention of this Court towards the judgment delivered by the Division Bench of this Court in the case of Commissioner of Income Tax vs. Vinay Mishra reported in [2020] 121 taxmann.com 243 (Karnataka) involving similar issue. Paras 6 to 8 of the aforesaid judgment reads as under: "6. We have considered the submissions made by learned counsel on both the sides and have perused the record. Admittedly, the dispute in the appeal pertains to Assessment year 2009-10 i.e., prior to amendment of Section 54F of the Act by the Finance Act, 2014 w.e.f. 01.04.2015. The seminal issue, whic....
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....o years after the date on which the transfer took place purchased, or has within a period of three years after that date constructed, one residential house in India (hereafter in this section referred to as the new asset), the capital gain shall be dealt within in accordance with the following provisions of this section, that is to say.- Thus, it is evident, that requirement of construction of a residential house in India in order to claim exemption under Section 54F(1) of the Act has been incorporated w.e.f. 01.04.2015. 7. Before proceeding further, we may advert to certain well settled legal principles. The Supreme Court in 'GOVIND DAS vs. I.T.O', (1976) 1 SCC 906 held that unless the terms of a statute expressly so provi....
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....T Circular No.1/2015 dated 21.01.2015 reads as under: 20.5 Applicability: These amendments take effect from 1st April, 2015 and will accordingly apply in relation to Assessment year 2015-16 and subsequent Assessment years. Thus, it is axiomatic that residential property, for which investment is made needs to be situated in India for the purpose of claiming exemption under Section 54F from Assessment year 2015-16 only and not prior to that period. In the instant case, the investment in a residential house was made in USA prior to 01.04.2015, whereas, the requirement of making an investment in a residential house, which was incorporated by way of amendment, came into force w.e.f. 01.04.2015. In the light of aforesaid well se....