The capital gains exemption under section 54 or section 54F of the Income Tax Act is often denied by the assessing officer because of the use of words “a residential house” under section 54 or 54F of the Income Tax Act. This problem often arises in case of a development agreement by a taxpayer with a builder for joint construction exercise under which taxpayer receives more than one house or may be a floors having many independent residential units from the builder.When in that case question of giving exemption u/s 54 or 54F comes , the approach of the assessing officer is to allow exemption only in case of one unit of house or flat . The main reason for this is the presence of phrase ” a residential house” in section 54 or sec. 54F .
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CBDT has clarified that the date of filing tax return to 17th October 2016 vide its order u/s 119 of the Income-tax Act, 1961 (‘Act’) dated 9th September, 2016 is also for obtaining the tax audit report under section 44AB . Read the explanatory circular below F. No. 225/195/2016-ITA II Government of India Ministry of […]
CBDT has extended the due date for filing tax return on ground of clash of dates with last date for declaration under the Income Declaration Scheme 2016 . It its circular dt 9th September 2016 , reasons cited by the CBDT to remove the inconvenience – “In order to remove inconvenience and to facilitate ease of […]
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The Finance Act 2013 has finally been passed and in a day or two will get assent from President of India also . Unfortunately , the President will have to sign a taxation provision which was proposed by him , but later withdrawn on protest from all. The provision was the insertion of a clause in section...
About Prashant Thakur
The author has spent twenty years with Income Tax department and desire to service common citizen of India which include professionals like tax practioners ,CA,ICMA, CS and tax lawyers by advising them on the direct tax matters for a very affordable fee.