9911796707
TMI Blog2024 (3) TMI 472X X X X Extracts X X X X X X X X Extracts X X X X ..... short term capital gain, then also the assessee is entitled for the deduction the cost of acquisition of the land in dispute along with indexation HELD THAT:- From the preceding discussion, we note a defect in the order of ld. CIT(A) in so far as the benefit of cost of acquisition with respect to the land has not been provided as mandated under the provisions of law. As such, we note that the ld. CIT(A) on the one hand is denying the benefit of a deduction representing the written down value and on the other hand, the ld. CIT(A) has not given the benefit of acquisition of land along with the indexation cost. Thus, we are of the view that such an order passed by the CIT(A) is not based on the provisions of law. Thus we hold that the order p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd and building as part of the block of asset and claimed the depreciation thereon. Therefore, the written down value of Rs. 7,67,802/- should be allowed as a deduction against the compensation received. 4. However, the ld. CIT(A) disagreed with the submission of the assessee on the reasoning that the land cannot be made part of the block of assets and therefore the question of claiming the depreciation does not arise. Thus, the ld. CIT(A) confirmed the order of the Assessing Officer. 5. Being aggrieved by the order of ld. CIT(A), the assessee is in appeal before us. 5.1 The ld. AR before us filed a paper book running from pages 1 to 111 and among other contentions submitted that the land was acquired in the year 1985 and thereafter the bui ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ying the benefit of a deduction representing the written down value of Rs. 7,67,802/- and on the other hand, the ld. CIT(A) has not given the benefit of acquisition of land along with the indexation cost. Thus, we are of the view that such an order passed by the CIT(A) is not based on the provisions of law. 8.1 With prejudice to the above, we note that if we calculate the capital gain by the method adopted by the ld. CIT(A), we note that the tax liability of the assessee shall reduce further as evident below: Particulars STCG if sec. 50 is applicable LTCG If Sec. 50 is not applicable Total Consideration Less: WDV 1,00,09,775.00 -7,67,802.00 1,00,09,775.00 N/a. Gain Tax Rate Applicable 92,41,973.00 @30% 1,00,09,775.00 @ 20% Resultant Tax 27, ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
