Assessee, a co-owner of a residential house, along with other parties had entered into a joint development agreement (JDA) with a developer and received a non-refundable deposit of Rs. 2.25 crores along with two flats. Assesseee claimed the benefit of exemption under section 54 in respect of the cost of only one flat which was registered and allotted to him under JDA. The Assessing Officer allowed the benefit of exemption under section 54 to extent of 42.5 per cent of assessee’s share but on the cost of two flats. On appeal, the Tribunal held that since only one flat was registered in name of assessee, the benefit of exemption under section 54 was to be allowed to extent of assessee’s share in the property i.e. 42.5 per cent but on the cost of one flat only and not two.  (AY. 2011-12)