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TMI Blog1986 (8) TMI 128X X X X Extracts X X X X X X X X Extracts X X X X ..... authorities below. In order to appreciate the rival contentions and to facilitate the determination of the issue, a careful look at the factual canvas, which is as under, is necessary. 3. The assessee, Shri H.L. Chandok, is an individual. He was allotted and purchased on allotment from the Ministry of Rehabilitation property bearing No. 20/48, Old Rajendra Nagar,New Delhiin 1948. The property as then purchased had only asbestos sheet roofing. In 1966-67, the assessee modified the roofing and constructed first floor and barsati floor thereon. It is common ground that though the first floor and barsati were let out to various tenants, thereafter, yet the assessee continued to reside personally in the ground floor of the property from the da ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e claim of the assessee was as such rejected. 5. When the matter came up in appeal before the Commissioner (Appeals) he considered the submissions made before him on behalf of the assessee and the reasons recorded by the ITO in his impugned order for his action. The learned Commissioner (Appeals) held that there was no dispute about the facts of the case. According to him, the judgment of the Hon'ble Delhi High Court referred to supra was applicable to the case of the assessee. He, therefore, directed that out of the total capital gains of Rs. 1,12,450 worked out by the ITO in his impugned order dated29-3-1982proportionate exemption was available to the assessee on the basis of covered area under self-occupation and in occupation of the te ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Kodandas Chanchlomal [1985] 155 ITR 273 supports the case of the assessee. Reliance was also placed on the judgment of the Tribunal in the case of Smt. Savitri Devi Maini v. ITO [1985] 11 ITD 422 (Delhi). 7. We find that the revenue has not been able to appreciate the ratio of the judgment of the Hon'ble High Court in the case of Vidya Prakash Talwar. In this case, theHon'ble Courthas clearly laid down that 'house property' for the purpose of section 54 has the same meaning as the concept of house property under sections 22 to 27 of the Act. Therefore, the expression 'house property' takes into account an independent residential unit. According to theHon'ble Court, when section 54 talks of house property, it does not mean an independent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the purpose of section 54 has the same meaning as the concept of house property contained in sections 22 to 27 which takes into account an independent residential unit and this expression does not mean an independent complete house, as such. However, as pointed out by the revenue, there is a judgment of the Madras High Court in the case of C. Jayalakshmi in which the Hon'ble Court has held that the language of section 54 contemplates an identity of the capital assets transferred and the property being used mainly for the purpose of residence. This view apparently is at variance with the views of the Hon'ble Delhi and Gujarat High Courts. Therefore, it is clear that in the interpretation of section 54, which is embodied in a fiscal statute, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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