9911796707
|
Home
Issues involved: Determination of whether the sale of an industrial shed resulted in a short-term capital gain or a long-term capital gain for the assessment year 2001-02.
Summary: The High Court of Delhi heard an appeal by the revenue against an order of the Income-tax Appellate Tribunal regarding the classification of the sale of an industrial shed by the assessee. The assessee had been issued an allotment letter for the shed in 1994, made payments over time, and was put in possession in 1998 before selling it in 2000. The Assessing Officer considered it a short-term capital gain due to the holding period, which was less than 36 months. The Commissioner of Income-tax (Appeals) upheld this decision, but the Tribunal ruled in favor of the assessee, stating the assessee was entitled to the asset from the date of allotment. The High Court noted that even if the Tribunal's view was incorrect, it would only apply to this specific case and not set a general precedent, thus not raising a substantial question of law. Additionally, the tax effect was minimal, falling below the limit set by the Central Board of Direct Taxes. Consequently, the appeal was dismissed.
|
