Tribunal held that the amount remained as deposit in a nationalised bank until it was utilised for the construction of the residential house. The assessee had proceeded to comply with the provisions of S. 54 but had only made a small technical breach which should not disentitle the assessee for the benefit of S.54 . Therefore, the Assessing Officer was directed to grant the benefit of S. 54 to the assessee.( AY.2014-15)
ACIT v .Justice T. S. Arunachalam (2020)78 ITR 290 ( Chennai ) (Trib)
S. 54 : Capital gains – Profit on sale of property used for residence -Depositing entire sale proceeds in savings bank account- construction of house – Not depositing the amount in specified bank account – Technical breach —Entitled to exemption [ S.45, 54(2),54F ]