9911796707
TMI Blog2019 (2) TMI 1271X X X X Extracts X X X X X X X X Extracts X X X X ..... amounts were paid to the builder and the receipts of payments are available. The assessee has also filed approved construction plan at page 3 of Paper Book and which is in the name of assessee and his brother. Further, the completion certificate dated 11.03.2013 has also been issued by the Grampanchayat which is also in the name of assessee and his brother, wherein it is clearly mentioned that approval for house construction was given on 10.12.2010 and the construction was completed on 03.03.2012. In such facts and circumstances, there is merit in the claim of assessee that against the capital gains arising in his hands the assessee is entitled to claim the deduction on account of his share of construction of the said property as per p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aim exemption u/s 54F. 1.5. The learned CIT(A) erred in not appreciating that the Gift Deed executed was valid and therefore, there was no reason to deny the claim of exemption u/s 54F. 1.6. Without prejudice to the above grounds, the assessee submits that since the bungalow was owned by him and was also constructed out of his own funds, the exemption u/s 54F was allowable even if, the ownership of the plot was not with the assessee. 3. The only issue raised in the present appeal is against denial of deduction claimed under section 54F of the Act. 4. Briefly, in the facts of the case, the assessee during the year under consideration had declared income from long term capital gains on sale of plot, at Nil after claiming the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... me of assessee and his brother and hence, deduction claimed under section 54F of the Act could not be denied. He further pointed out that in the facts of the case before the Hon ble Bombay High Court in Prakash Vs. ITO (2008) 173 Taxman 311 (Bom), the denial of deduction under section 54F of the Act was on account of the fact that bungalow was constructed in the name of adopted son. The learned Authorized Representative for the assessee in this regard placed reliance on the decision of Mumbai Bench of Tribunal in Chandrakant S. Choksi HUF Vs. ACIT (2015) 53 taxmann.com 312 (Mumbai Trib.), wherein the assessee had purchased share in property without any right in the land, on which the said property was constructed and the same was trans ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts filed by the assessee reflect that the Grampanchayat had issued permission for construction of the said plot of land in the name of assessee and his brother vide Certificate dated 10.12.2010. The assessee has entered into construction agreement with M/s. Nirmitee Construction dated 24.12.2010 and had invested the whole consideration. The said amounts were paid to the builder and the receipts of payments are available at pages 11 to 13 of Paper Book and copy of construction agreement at pages 4 to 10 of Paper Book. The assessee has also filed approved construction plan at page 3 of Paper Book and which is in the name of assessee and his brother. Further, the completion certificate dated 11.03.2013 has also been issued by the Grampanchayat ..... X X X X Extracts X X X X X X X X Extracts X X X X
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