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TMI Blog2022 (9) TMI 35X X X X Extracts X X X X X X X X Extracts X X X X ..... icer (emphasis, by underlining, supplied by us). It was in this context that Their Lordships held that such a course of action was impermissible. That is not the case, as learned CIT(A) has rightly appreciated, before us. Here is a case in which a claim for exemption was rightly made, but only a wrong section was quoted while making a claim, which is qualitatively different from was no fresh claim was such. In our considered view, therefore, the Assessing Officer was indeed in error in adopting such a hyper-pedantic approach and in holding that there was a fresh claim for exemption under section 54F. The grievance raised by the Assessing Officer, in this appeal, is, therefore, devoid of any legally sustainable merits. It proceeds on the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ass of material facts. The assessee before us is a non-resident lady, and it appears that she had tenancy rights in a residential apartment in the posh South Mumbai locality of Warden Road. She surrendered these tenancy rights for a consideration of Rs 4,76,80,552. The funds so received by her, along with an additional amount of Rs 56,80,230, were invested in the purchase of a new residential flat in the upcoming Lower Parel area nearby. There is no dispute about these foundational aspects. 3. Let us, at this stage itself, take note of certain basic provisions of the capital gain taxation in India. There is also no dispute about the fact that for the purpose of exemption of such capital gains from income tax, subject to certain condition ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... provisions are contained in Section 54F of the Act. The difference between these two provisions is only with respect to qualifying investment which is restricted to net capital gains, so far as the sale of long-term capital gains in the nature of a house is concerned, but which must pertain to the entire sale consideration, so far as other long term capital assets, other than a house, are concerned. In a situation, however, when an assessee invests an amount which is in excess of the entire sale consideration on the sale of a long-term capital asset, whatever be the nature of the capital asset, the entire capital gains in question, dehors the nature of the long-term capital asset and subject to certain conditions- which are not material in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Limited Vs CIT [(2006) 204 CTR 182 (SC)], the claim so made is inadmissible in law. The claim for exemption under section 54F was held to be vitiated in law. Aggrieved, assessee carried the matter in appeal before the learned CIT(A) who upheld the claim of the assessee, and observed as follows: 5.1.2 I have gone through the submissions of the appellant and the assessment order. On the facts of the case, I am of the opinion that the decision of the Supreme Court in the case of Goetz India Limited Vs CIT [(2006) 204 CTR 182 (SC)] does not apply. This is not a case where there is a mistake in the return of income which could be corrected only by filing a revising return, this is a case where there is a bonafide claim made by the appellant. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is a case in which a claim for exemption was rightly made, but only a wrong section was quoted while making a claim, which is qualitatively different from was no fresh claim was such. In our considered view, therefore, the Assessing Officer was indeed in error in adopting such a hyper-pedantic approach and in holding that there was a fresh claim for exemption under section 54F. The grievance raised by the Assessing Officer, in this appeal, is, therefore, devoid of any legally sustainable merits. It proceeds on the fallacious assumption that a change of section, on account of an inadvertent and bonafide error, under which the claim is made, by itself, amounts to a fresh claim. We reject the same. We approve the conclusions arrived at by the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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