The fact that the property is registered in the name of the wife should not be a bar as the same was done for convenience and to obtain a loan. What is important is that the funds of the taxpayer claiming exemption u/s 54F have been used for the construction of the property. However, there… (read more)

Technically, S. 154 allows rectification of a "mistake apparent from the record". Seeking to claim a brought forward loss which was not reported earlier may not constitute a simple clerical/apparent error. Anyway, you have nothing to lose and should pursue this. If the CPC rejects it, you can file an appeal. (read more)

An appeal cannot be filed against the s. 119(2)(b) order rejecting condonation of delay. A writ petition in the High Court will have to be filed. The issue whether CBDT Notification No. 31/2023 dated 24.05.2023 which raised the exemption limit u/s 10(10AA) for non-government employees from ₹3 lakh to ₹25 lakh, effective from 01.04.2023 (AY… (read more)

Your status is that of co-owner with undivided share. You should get the property mutated in the names of the co-owners. Thereafter, the sons can release their share in favour of the mother by a release deed/ family settlement. As it is without consideration and between close blood relatives, it will attract nominal stamp duty… (read more)

In CIT v. Ghanshyam (HUF) [2009] 315 ITR 1 (SC), the Supreme Court held that interest u/s 28 of the Land Acquisition Act on enhanced compensation is an accretion to the compensation and forms part of it. However, as the Finance Act 2009 introduced s. 56(2)(viii) taxing interest on compensation/enhanced compensation as "Income from Other… (read more)

No. The old flat was a long-term capital asset. There was LTCG on its gain which was set-off by the exemption u/s 54 granted for the construction of the new flat. The new flat is a short-term capital gain and is not entitled to any exemption. (read more)

Yes, a freelance business journalist providing editorial services on a weekly/monthly basis is entitled to compute income under Section 44AD, as journalism is not one of the specified professions under Section 44AA. (read more)

According to the Mumbai ITAT in Tata Sons Pvt. Ltd. v. DCIT (2024) 204 ITD 802 (Mum.)(Trib.), interest under section 244A(1A) is computed with a specific adjustment method, relying on the Supreme Court’s interpretation in CIT v. HEG Ltd. (2010) 324 ITR 331 (SC). The assessee becomes entitled to interest on the unpaid refund (including… (read more)

In my view, surcharge applicability will be based on your total income computed without indexation benefit (i.e., using the higher unindexed LTCG figure). This is because indexation benefit is an option only for computing the tax on the LTCG itself u/s 112 (choosing between 20% with indexation or 12.5% without), not for determining "total income"… (read more)

Treatment appears to be correct because employees of Central Autonomous Bodies (CABs) are non-government employees for the purpose of tax exemption on leave encashment u/s 10(10AA) of the Income Tax Act, 1961. (read more)