2023 (9) TMI 1314

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....ted 31.03.2015 by the Income Tax Officer, Ward 53(3), New Delhi and the orders passed by the CITIA) XXVIII, New Delhi dated 04.08.2016, are bad in law and against the facts of the case. 2. That the Assessing Officer was incorrect to make disallowance of deposit/investment made u/s. 54F into the Long term Capital Gains account scheme, much before the due date of filing the return, claiming deduction of Rs. 52,54,619/- out of the LTCG earned by the appellant. The CIT(A) was incorrect to confirm the said disallowance without proper appreciation of the facts of the case. 3. That the Assessing Officer did not appreciate the material on record and ignored the same to make the disallowance. 4. That a detailed statement o....

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....nd ITAT Delhi the mere letting out for a commercial purpose would not let an assessee escape the rigours of proviso to sec 54F. 7. Judging the facts of the case on the anvil of the enunciation of law on interpretation of the words 'residential house 'used in section 54F, the following relevant factors may be seen. (1) That the flat at ""Aradhana Enclave" is indisputably a residential flat. (2) As regards the other flat at Nirvana, even otherwise no evidence has been file that it is a commercial flat, if at all. (3) There is no finding nor evidence provided that the flat at Nirvana is not capable of being used as a residence. (4) Mere letting out of the flat at Nirvana for commercial purpo....

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....n the grounds mentioned above. The Ld. Counsel for the assessee submitted that on 28/11/2011, the assessee had sold 1305 equity shares under buyback offer of M/s Paragon Constructions (P) Ltd. at Rs. 4,421/- per share of value of Rs. 57,69,405/-, the assessee on 21/12/2011 directly deposited the entire sale consideration in LTCG Account Scheme on 21/12/2011. The AR further submitted that the Assessee purchased residential house property Apartment No. 51/1, IXAI-H in Vatika City, Gurgaon, out of LTCG Account Scheme, therefore, the assessee is eligible for deduction u/s 54F of the Act. The Ld. Counsel for the assessee further submitted that the observation of the A.O. which was confirmed by the CIT(A) that ' the assessee is already in possess....