TaxTMI 
TaxTMI 
TaxTMI 
2019 (8) TMI 1735
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....to law, facts and evidences on record. 2. The lower authorities erred in disallowing the exemption U/s.54 F in respect of sale consideration of Rs. 56,22,000/- on the ground that the exemption is confined to only to one property and one transaction. 3. The learned lower authorities failed to appreciate in the facts and circumstances of the case as established by judicial decision, the two adjacent properties has to be considered as one only. 4. Without prejudice to the above the provisions of section 54 F does not place any restriction on owning of nonresidential property /commercial property as it is clear from the proviso to the said section and the provisions of section 54 F is also not confined to one transaction or one property i....
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.... AR of assessee placed reliance on the Tribunal order rendered in the case of Smt. Hemalatha Chandran Vs. ITO in ITA No. 603/Mds/2015 dated 01.04.2016 for Assessment Year 2011-12 and rendered in the case of ACIT Vs. Shri Mohinder Kumar Jain in ITA No. 5254/Del/2014 dated 04.08.2017 for Assessment Year 2011-12. He submitted a copy of both these Tribunal orders. He also placed reliance on the judgment of Hon'ble Karnataka High Court rendered in the case of CIT & Another Vs. Smt. K.G. Rukminiamma as reported in [2011] 331 ITR 211 (Karn). He submitted a copy of this judgment also and pointed out that this was held by Hon'ble Karnataka High Court in this case that the letter 'a' used should not be construed as meaning "singular" but bein....
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....he assessee has purchased Property No. 1, a commercial property through a Sale Deed dated 24.9.1998 registered as 1392/ 98-98 measuring 696 sqft. He has also purchased another commercial property i.e. Property No.2 by means of a Sale deed dated 24.9.1998 registered as 1390/ 98-99 measuring 695 sq.ft. These two commercial properties have been sold by the assessee by means of two separate Sale Deed vide document No. 2610/ 11-12 dated 27.3.2012 and document No. 2611/ 11-12 dated 27.3.2012. It is pertinent to note here that the properties purchased by the assessee were two different properties purchased by means of two separate Registered Deeds and the sale of the properties is through two separate registered deeds. Hence it cannot be said that....
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.... as income of the previous year in which the transfer took place, it shall be dealt with in accordance with the provisions of this section; 8. The section is very clear regarding the fact that it is the capital gain from 'a' long term capital asset and the assessee has claimed exemption on two properties which is not the intention of legislation. In view of the above, the assessee is not entitled for exemption under sec, 54F in respect two properties and the exemption is restricted to one transaction and the exemption claimed amounting on sale of property amounting to Rs. 56,22,000/- is disallowed." The assessee relied on the on the Hon'ble ITAT Delhi in the case of ACIT, Circle-27(1), New Delhi Vs. Mohinder Kumar Jain (ITA ....
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.... we reproduce para no. 10 of the judgment of Hon'ble Karnataka High Court rendered in the case of CIT & Another Vs. Smt. K.G. Rukminiamma (supra). "10. The context in which the expression 'a residential house' is used in s. 54 makes it clear that, it was not the intention of the legislation to convey the meaning that it refers to a single residential house. If that was the intention, they would have used the word "one". As in the earlier part, the words used are buildings or lands which are plural in number and that is referred to as "a residential house", the original asset. An asset newly acquired after the sale of the original asset also can be buildings or lands appurtenant thereto, which also should be "a residentia....