9911796707
TMI Blog2021 (2) TMI 1004X X X X Extracts X X X X X X X X Extracts X X X X ..... Parel, Mumbai. It is a fact that the assessee has kept the money either in capital gain account scheme or made part payment for purchase of residential flat in Crescent Bay apartments at Parel, Mumbai and this has a direct nexus that the consideration received from sale of residential property was invested in purchase of this property. Hence, it is the choice of the assessee to claim exemption on one flat and CIT(A) rightly restricted the same to the investment made in purchase of residential flat at Crescent Bay apartments at Parel, Mumbai. The CIT(A) s direction to the Assessing Officer is perfectly within the provisions of law. We find no infirmity in the order of CIT(A) and hence, the same is confirmed.- Decided against revenue. - ITA ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appreciate that relief allowed by him has reduced the total income of the assessee as against the returned income offered for the A. Y 2013-14. 3. Brief facts are that the assessee is an individual and during the year under consideration sold a house property vide agreement dated 01.11.2012 for a consideration of ₹ 6.5 crores on which capital gain of ₹ 5,35,39,112/- arose. The assessee before the Assessing Officer as well as before CIT(A) claimed that he has purchased a residential house being Flat No. 3604 in Crescent Bay apartments at Lower Parel, Mumbai for a total consideration of ₹ 5,45,52,225/- and thus invested this amount in purchase of house under allotment vide letter dated 05.01.2013 and formal agreement was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s show-caused to explain why balance capital gains remaining after executing the purchase agreement for purchase of flat at Nirala Nagar, Lucknow for a consideration of 37,80,170/- was not offered to tax as Sec 54 allows deduction towards purchase of only one house property which was exhausted when the agreement for the Lucknow flat was executed. Moreover, depositing the sum of Capital gains accrued in a Capital Gains account as per Capital Gains Scheme, 1988, is envisaged only if the capital gains remains unutilized at the time of filing of return whereas in the case of the assessee, the Lucknow agreement had already been executed by 29.07.2013 Moreover, the assessee cannot claim deduction towards monies invested in projects when a house p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 19.12.2013 SBI CAPITAL GAIN A/C 2,891,039 56 2,891,039 24.12.2013 HSBC BANK 35,240 - 35,240 04.12.2013 SBI CAPITAL GAIN A/C 2,828,807 56 2,828,751 07.05.2014 SBI CAPITAL GAIN A/C 3,111,681 56 3,111,625 10.07.2014 SBI CAPITAL GAIN A/C 3,111,681 56 3,111,625 10.09.2014 SBI CAPIT ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 05.02.2016 HSBC BANK 3,099,580 - 3,099,580 54,184,449 13,237 54,171,212 5. The CIT(A) finally allowed the claim of assessee vide para-6.6 as under: 6.1.6. Since the appellant had invested in the flat situated at Crescent Bay Apartment at Parle, Mumbai first and it was the choice of the appellant to claim exemption on one flat. The investment in flat at Crescent Bay Apartment Parle, Mumbai fulfilled all the necessary conditions which are required for claiming exemption u/s. 54. Therefore, the AO is directed to allow ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
