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TMI Blog2008 (8) TMI 386X X X X Extracts X X X X X X X X Extracts X X X X ..... hased 2200 shares of Ajmera Development Corporation (P) Ltd. (hereinafter referred to as ADCPL) on 12th Dec., 1990 for a sum of Rs. 2.22 lakhs. Assessee sold the same to the M/s Prudential Leasing Ltd. on 25th Feb., 1992 for a sum of Rs. 16.65 lakhs. The long-term capital gains arising out of these transactions invested for construction of residential property by making the payment of Rs. 16.65 lakhs on 30th Dec., 1992 to Ajmera Housing Construction. AO denied the benefit. This is a second round of appeal before the Tribunal. Earlier, the Tribunal cancelled the order of the lower authorities and issued directi0n to the AO to decide the issue afresh. During the assessment proceeding under s. 143(3) r/w s. 254, the AO denied claim of exemptio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n that where the sale proceeds of the capital assets when invested in the construction of the residential house within the stipulated period the assessee is entitled to relief under s. 54F and completion of construction or occupation is not essential in view of the CBDT Circular Nos. 471 and 672. In this connection, assessee invested entire sale proceed in December, 1992 itself, which itself entitles the assessee to the benefits of the s. 54F. CIT(A) rejected the same and confirmed the action of the AO. 4. Aggrieved with the same, the assessee is before us. The case of the Revenue is that the assessee is not entitled to the benefits of s. 54F when the occupancy certificate is not in order and when the assessee entered into purchase agreem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under the head "Income from house property" as provided in cl. (b) of the proviso. In other words, the "ownership of more than one residential house other than the new asset" is an important condition. Further, ownership of the said house more than one residential house on the date of transfer of a original asset is another operative part of the clause. Applying these provisions to the case of the assessee what is owned by the assessee is a share in the flat owned by the AOP where he is the part of the AOP and he entering into an agreement for acquisition of flat in 1993 does not bar him for the reason that the condition mentioned in cl. (a)(i) is on the date of the transfer of the original asset and certainly not the asset acquired by the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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