TaxTMI 
TaxTMI 
2024 (10) TMI 741
X X X X Extracts X X X X
X X X X Extracts X X X X
....s. 38.48 lakhs u/s. 50C of the Act on cancellation of tenancy rights. 3. Briefly stated the facts of the case are that the assessee electronically filed his return of income on 24/09/2018 declaring income of Rs. 36,400/-. The return was selected for scrutiny assessment and accordingly, statutory notices were issued and served upon the assessee. 4. While scrutinizing the return of income, the AO noticed that the assessee has received consideration for transfer of immovable property. The assessee was asked to furnish the details and the assessee submitted that the relevant and supporting documents including deed of transfer. It was explained that the assessee is in receipt of consideration in respect of the property which was a tenancy prop....
X X X X Extracts X X X X
X X X X Extracts X X X X
....oper to carryout the entire work of development of the said property on allotment of a permanent alternate accommodation. Since the assessee defaulted on certain conditions as per the deed of conveyance dated 21/07/2017 which falls in the year under consideration, the assessee could get alternate accommodation only to the extent of 351.86 sq.ft carpet area. On this, this deed was registered and the stamp duty valuation authority assessed the stamp value at Rs. 38.48 lakhs. It is the say of the Counsel that since the alternate accommodation has not been provided to the assessee, there is no question of any capital gains for the year under consideration. The Counsel vehemently stated that even if there is a transfer of tenancy right, provisio....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... following questions of law and held as under:- "The Revenue urges the following questions of law for our consideration:- (i) Whether, on the facts and in the circumstances of the case and in law, the Tribunal has rightly decided that Assessing Officer has wrongly substituted the value adopted or assessable stamp valuation authority only in respect of land or building or both cannot be extended or extrapolated to the transaction of transfer of the tenancy rights under the provisions of Section 50C of the Income Tax Act ? (ii) Whether, on the facts and in the circumstances of the case and in law, the Tribunal has rightly interpreted the Section 50C of the Income Tax while dismissing the appeal of the Revenue ? 3. We find that the imp....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... constitute a "capital asset" with in the meaning of section 2(14) of the I.T. Act? 2. If the answer to question No. 1 is in the negative, whether the Tribunal was justified in law in holding that the surrender of the tenancy right to Ms. Jolly and Maker Pvt. Lad, in exchange for an ownership flat in the ruling 'IL PALAZZO did not constitute 'transfer' under section 2(47) of the Income- tax Act? 3. Whether the Tribunal was justified in law in holding that the transfer referred to in question No. 2 did not attract capital gain under section 45 of the Income-tax Act?" The assessee was a tenant occupying a flat in a building known as Rutty Engineer House under a lease taken some time in 1964. Reading the order of the AAC and the judgment....