Allowing the appeal the Tribunal held that the agricultural land situated is outside the Municipal limits, it is not deemed as capital asset under section 2(14)(iii) and there is no liability of capital gains. Capital gains accrued on sale of land has been invested in purchase of land which is used for agricultural purposes. The Assessing Officer has examined the claim and allowed the exemption u/s 54B of the Act. Revision is not valid. Tribunal also held that the order was passed the very date of hearing that too after the appointed time of hearing. It is. Case of total lack of opportunity to the assessee to defend to case, such defect being incurable, the revisionary order passed is quashed. (AY. 2016-17)
Ramdev Mandhani (HUF) v. ITO (2021) 214 TTJ 1024 / 208 DTR 438 (Raipur)(Trib.)
S. 263 : Commissioner-Revision of orders prejudicial to revenue-Exemption on sale and purchase of agricultural lands-Revision was held to be not valid-Lack of opportunity-Fresh opportunity of passing the order after giving the assessee an opportunity of hearing cannot be given-Order was quashed. [S. 2(14)(iii), 54B]