The assessee during the year under consideration sold unlisted shares on 16.06.2017 taxable as LTCG and claimed the deduction u\/s 54F of the Act on account of amount invested in Residential House Property<\/p>\n
As per department the assessee is ineligible to claim deduction u\/s 54F of the Act as he owned two residential house property, apart from the new residential property.<\/p>\n
Assessee has executed registered agreement for assignment of the flat owned by him on 05.04.2017. The assessee has received more than 97% of the consideration as on 30.04.2017 and accordingly gave the possession of the said flat. Affidavit of the purchaser stating that he has taken the possession on 30.04.2017 was submitted.<\/p>\n
Final registered sale deed was executed on 27.06.2017. AO is of the opinion that since the final sale deed was executed on 27.06.2017, as on the date of sale of shares i.e 16.06.2017 assessee is owner of more than two house properties, whereas the assessee’s claim is that when he has handed over the possession on 30.04.2017 and also received substantial consideration on 30.04.2017 and the balance amount was also received prior to 16.06.2017, the transaction is completed on 30.04.2017 when the possession was given. Registration of sale deed is mere formality which is executed later on.<\/p>\n
Whether the AO is justified in denying claim u\/s 54F of the Act in the case of assessee?<\/p>\n","protected":false},"comment_status":"open","ping_status":"closed","template":"","qa_expert":[33],"qa_category":[23],"qa_tag":[24,362,361],"class_list":["post-22000","qa","type-qa","status-publish","hentry","qa_expert-advocate-shashi-ashok-bekal","qa_category-income-tax","qa_tag-capital-gains","qa_tag-investment-in-house","qa_tag-section-54f-deduction"],"acf":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa\/22000","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/qa"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=22000"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=22000"}],"wp:term":[{"taxonomy":"qa_expert","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_expert?post=22000"},{"taxonomy":"qa_category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_category?post=22000"},{"taxonomy":"qa_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_tag?post=22000"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}