I.T.O. Vs. ANIRUDHA ASHOK JAJOO

JUDGEMENT

(1.) THIS appeal filed by the Revenue is directed against the order dated 26 -08 -2013 of the CIT(A) -I, Nashik relating to Assessment Year 2009 -10.

(2.) FACTS of the case, in brief, are that the assessee is a practicing Chartered Accountant and filed his return of income on 30 -09 -2009 declaring total income of Rs. 93,920/ -. During the course of assessment proceedings, the AO noted that the assessee has shown income from capital gains. From the various details furnished by the assessee the AO noted that the assessee has sold plot No. 40 at Gat No. 229, Mhasrul on 23 -03 -2009 for Rs. 8,21,000/ -. The indexed cost of acquisition was worked out at Rs. 4,11,678/ - and the capital gain was shown at Rs. 4,09,322/ -. The assessee claimed deduction u/s. 54F to the extent of Rs. 4,11,316/ - on investment of Rs. 8,25,000/ - within one year from or to the date of transfer towards purchase of residential property.

(3.) BASED on the arguments advanced by the assessee the Ld. CIT(A) allowed the claim of deduction u/s. 54 amounting to Rs. 18,64,689/ - and sustained the addition of Rs. 4,09,322/ -. The assessee is not in appeal against the said addition. The relevant observation of the CIT(A) from para 6 to 6.4 reads as under: