Assessing Officer issued a reopening notice on ground that capital gains income had arisen to assessee on transfer of development rights in its land to a developer. On writ the Court held that since the assessee had merely granted licence to permit construction on land to such developer but not given any possession in land as contemplated under section 53A of T.P. Act, 1882, there was no transfer as per section 2(47)(v) giving rise to any capital gain in hands of assessee. Notice of reassessment was quashed. (AY. 2013 -14)
Bharat Jayantilal Patel v. DCIT [2023] 149 taxmann.com 290/ 292 Taxman 276 (Bom)(HC)/Editorial : SLP of Revenue is dismissed , Dy,CIT v. Bharat Jayantilal Patel (2024) 296 Taxman 247 (SC)
S. 147 : Reassessment–After the expiry of four years – Capital gains – Transfer- Development rights – Power of Attorney – Neither any tangible material nor any reason to believe that ‘any income chargeable to tax had escaped assessment’ – Reassessment notice was quashed. [S. 2(47)(v), 148, Transfer of Property Act, 1882, S.53A, Art. 226]