R S SHARMA Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) The assessee has preferred this appeal challenging the order dated 29-12-2008 passed by the Income Tax Appellate Tribunal, Bangalore Bench 'A' (hereinafter referred to as 'the Tribunal' for short) in ITA No.822/Bang/2008, wherein the Tribunal had upheld the order passed by the lower authorities and levied tax on the capital gains for the assessment year 2005-06.

(2.) The assessee has filed the return of income for the assessment year 2005-06 on 30-01-2006 declaring the total income of Rs.5,56,960/- wherein he claimed long term capital gain exemption under Section 54F of the Income Tax Act, 1961 (hereinafter referred to as 'the Act' for short). The Assessing Authority passed an order dated 6-12-2007, under Section 143(3) of the Act recalculating the computation of income filed by the assessee and held that the long term capital gain exemption has to be disallowed. He also imposed interest under Sections 234B and 234C of the Act. Aggrieved by the said order, the assessee preferred an appeal to the Commissioner of Income Tax (Appeals)-I, Bangalore (hereinafter referred to as 'the First Appellate Authority' for short). The First Appellate Authority vide order dated 30-04-2008 partly allowed the appeal giving exemption of a paltry sum ofRs.28,510/-, however affirmed the order of assessment insofar as long term capital gain is concerned. Aggrieved by the said order, the assessee preferred an appeal to the Tribunal. The Tribunal dismissed the appeal. Being aggrieved by the said order, the present appeal is filed.

(3.) The following substantial questions of law arise for our consideration in this appeal.