TaxTMI 
TaxTMI 
2024 (9) TMI 263
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....eal Order vide DIN & Order No: ITBA/NFAC/S/250/2023-24/1061124535(1) dated 19/2/2024 1. The Learned Commissioner of Income Tax Appeal erred in ascertaining the facts while computing available deduction u/s 54 of IT Act 1961. The Learned CIT(A) had mistakenly taken the cost of the new residential house purchased by the assessee for claiming deduction u/s 54, at Rs. 1,03,60,000 while the actual cost as per the purchase deed dated 1703-2023 was at Rs. 18,50,00,000 the sum of Rs. 1,03,60,000 is only the stamp duty charge which needs to be added to the purchase cost making the total at Rs. 19,53,60,000 2. The Deduction under Section 54 as determined by the learned CIT Appeal needs to be corrected as under: The total sale proceeds of the apar....
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....ouse property and interest from bank. Thereafter, the case was selected for scrutiny for the reason that the assessee has claimed deduction amounting to Rs. 3,86,00,000/- u/s. 54 of the IT Act, 1961. Further, as the assessee has invested in the time deposit amounting to Rs. 80 Lakhs with HDFC Bank, the Ld.AO asked to provide the proof of the source of investment amounting to Rs. 80 Lakhs. Further, the assessee has also deposited Rs. 40 Lakhs in HDFC Bank for which the assessee was also asked to prove the source of deposit of the same. During the course of assessment proceeding, as the assessee has claimed deduction u/s. 80C amounting to Rs. 1,50,000/-, the assessee was requested to provide the documentary proof of investment made on the bas....
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....observed that during the course of appellate proceeding, as the deed of sale dated 17.03.2023 between M/s. DRA Projects Pvt. Ltd. (sellers) and Syeda Bibi Sadiqa (purchaser) has only been submitted and the purchase cost is shown as Rs. 1,03,60,000/- and considering the same, the Ld.CIT(A) held that the assessee is eligible only for exemption of Rs. 1,03,60,000/- (3,86,00,000 - 1,03,60,000) and thus balance of Rs. 2,82,40,000/- is taxable as long term capital gain. As the cost of the asset has not been substantiated with the document, hence the Ld.CIT(A) is of the opinion that benefit cannot be given to the assessee. 6. Further with regard to claim of deduction relating to interest on loan amounting to Rs. 48,26,105/-, the Ld.CIT(A) was of ....
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.... the assessee. Further, the Ld.AR submitted before us that the similar deduction u/s. 24 of the IT Act was also claimed in past and allowed in the preceding years. During the course of proceeding before us, the Ld.AR of the assessee on request produced the computation of income for the A.Y. 2021-22. The Ld.DR supported the orders of the income tax authorities below but also agreed that the Ld.CIT(A) has mistakenly taken the cost of new residential house at Rs. 1,03,60,000/- instead of actual purchase price of Rs. 19,53,60,000/- as a sum of Rs. 1,03,60,000/- is only the stamp duty charged for the purchase of the said property. 9. We have heard the rival submissions and perused the material on record. 10. The ground nos. 1 and 2 are related....