The assessee entered into an agreement to sell agricultural land at Rs. 4 crores on August 13, 2010. An amount of Rs. 10 lakhs towards the earnest money was received by the assessee as part of the agreement. On October 15, 2011, possession of the land was handed over by the assessee to the purchasers of the land. On July 3, 2012, the sale deed came to be executed by the assessee in favour of the purchaser of the land. The assessee had purchased a new residential house in April 2010. The assessee claimed benefits under sections\u00a054F\u00a0and\u00a054B\u00a0which were denied by the Tribunal. \u00a0Dismissing the appeal of the revenue the Court held that, \u00a0the assessee had purchased the new residential house in April 2010. The agreement to sell which had been executed on August 13, 2010 could be considered as the date on which the property, i.e., the agricultural land had been transferred. Hence entitled to \u00a0exemption. (Ratio in Sanjeev Lal v. CIT ( 2014\u00a0 ) 365 ITR 389 (SC) is explained ) \u00a0(AY. 2013-14)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 54F : Capital gains – Investment in a residential house \u2013Transfer includes extinguishment of rights – Agreement to sell land and purchaser given possession in August 2010 \u2014 Sale deed executed in July 2012 \u2014 Purchase of residential house in April 2010 \u2014Entitled to exemption. [ S.2(47)iii) , 45,54F ]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-8161","post","type-post","status-publish","format-standard","hentry","category-digest"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-27D","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/8161","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=8161"}],"version-history":[{"count":2,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/8161\/revisions"}],"predecessor-version":[{"id":8746,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/8161\/revisions\/8746"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=8161"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=8161"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=8161"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}