TaxTMI 
TaxTMI 
2024 (7) TMI 781
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....o add to, to alter, to amend the grounds and to adduce paper and document at the time of hearing." 3. Ground No.1 - The brief facts of the case are that the assessee during the year transferred her long-term investment in shares valued at Rs. 2,15,00,000/- to M/s Little Heart Children Hospital Pvt. Ltd. vide transfer deed dated 13.05.2013 and in lieu thereof received land of the equal value. The assessee had also entered into an agreement dated 03.08.2012 for purchase of residential plot for Rs. 1,50,00,000/- through legal heir one Ms. Rangini Goenka. The assessee declared longterm capital gains amounting to Rs. 1,75,07,520/- on the transfer of the shares, out of which the assessee claimed exemption u/s 54F of the Act amounting to Rs. 1,65,52,344/- on account of purchase/consideration of the house on the land purchased from Goenkas. However, the Assessing Officer observed that the land in question was leasehold property allotted by Asansol Durgapur Development Authority (hereinafter referred to as the 'ADDA') through Shri Ashoke Goenka and other and that the assessee has purchase right in the property from these persons vide agreement dated 03.08.2012. The Assessing Officer furthe....
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....nt for purchase of land. (iv) that construction of residential house was not completed within the period of three years and that the seller applied for sanction of the plan for construction of the house. 5. Being aggrieved by the said order of the CIT(A), the assessee has come in appeal before us. 6. We have heard the rival contentions and gone through the record. 6.1 So far as the contention of the Revenue that the assessee has received the consideration in the form of asset and not in terms of money and further that the assessee should invest the money received from the sale of capital asset is concerned, the same is not tenable. As per the provisions of section 54F of the Act, the amount of consideration can be invested for purchase of house even the year prior to the date of sale of asset, hence it is not the same money but the amount equal to the net consideration received. 6.2 So far as the issue relating to belated transfer of the house in the name of the assessee is concerned, the ld. counsel for the assessee in this respect has made the following submissions: "1. Agreement dated 3.8.2012 (page 10-13) for purchase of land which also included clause 5,6 and 7 that th....
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....e are required to be liberally interpretated in this case. The ld. counsel in this case has relied upon the following case laws: 1. The Judgement of the Ld. ITAT, Chennai in Mr. Muthu Daniel Rajan vs ACIT Circle 1(1) in ITA No.1675/Chny/2019 pronounced on 31.01.2023 2. The Judgement of Hon'ble Delhi High Court in CIT vs. R.L. Sood vide [2000] 224 ITR 727 (Del) pronounced on 24.09.1999 3. The Judgement of the Ld. ITAT, Mumbai in Shri Hasmukh N. Gala vs ITO 20(1)(3) in ITA No.7512/Mum/2013 pronounced on 19.08.2015 4. The Judgement of Hon'ble Madras High Court in CIT vs Sardarmal Kothari and Another vide [2008] 302 ITR 286 (Mad) pronounced on 17.06.2008 5. The Judgement of Hon'ble Karnataka High Court in CIT and Another vs Sambandam Udaykumar vide [2012] 345 ITR 389 (Karn) pronounced on 15.02.2012 6. The Judgement of Hon'ble Allahabad High Court in CIT Vs H.K. Kapoor (Decd.) vide [1998] 234 ITR 753 (All) pronounced on 12.08.1997 7. The Judgement of Hon'ble Karnataka High Court in CIT vs J.R. Subramanya Bhat vide [1987] 165 ITR 571 (Karn) pronounced on 09.06.1986 8. The Judgement of the Ld. ITAT, Delhi in Kapil Kumar Agarwal vs DCIT, Circle-1(1), Gur....
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....tamps and Registration Act, the title and interest in the property will not transfer to the buyer unless such transfer is by way of a deed, as held by the Hon'ble Supreme Court. But, when it comes to the beneficial provisions of Sec.54F of the Act, what is required to be seen is whether the assessee has invested consideration for purchase of property or not? In case, the assessee has satisfied conditions prescribed therein and invested sale consideration for purchase of residential house property, then even if some technical lapses like non-registration of agreement to sale, etc., does not disentitle assessee to claim benefit u/s. 54F of the Act, in case, the assessee proves with evidences that finally he had registered the property in his favour. In this case, although, the agreement to sale was not registered, but the final Sale Deed executed in favour of purchaser, has been registered as required under the law. Therefore, in our considered view, when the assessee has filed evidences in the form of agreement to sale and if the agreement to sale date is considered, then the period of investment in new house property is less than one year before the date of sale of original ass....