(1.) RELEVANT for the asst. yr. 1980 -81 the following questions have been referred to us by the Income Tax Appellate Tribunal ('Tribunal') under Section 256(1) of the IT Act, 1961 ('Act'):
(2.) WHETHER on the facts and in the circumstances of the case, the Tribunal was right in holding that no capital gain was assessable in the hands of the assessed?
(3.) MR . Ashok Kapur, describing himself as Karta of Ashok Kapur & Co. (HUF) entered into an agreement with M/s Ansal Properties & Industries ('Ansal Properties') on 19th Nov., 1979 for construction of a multi -storeyed building at Barakhamba Road. In this agreement Ashok Kapur is described as owner dealer and Ansal Properties, as builders. The builders were to demolish all the structures at 21, Barakhamba Road, for constructing the multi -storeyed building. It was agreed that after construction 50 per cent of the building would be handed over to the builders and the remaining 50 per cent would be retained by the Ashok Kapur & Co. (HUF). It is not disputed that the assessed was, in terms of the agreement, paid Rs. 10 lakhs by the builders towards security.