SHASHI VARMA Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is a reference application under S. 256(1) at the instance of the assessee and following question of law has been referred by the Tribunal for answer by this Court :

(2.) BRIEF facts giving rise to this reference are that the assessee is an individual and owned a property in Jabalpur. During the previous year relevant to the asst. year 1982 83, the assessee sold this property on 29th Dec., 1981, and realised capital gains of Rs. 31,980. She invested a sum of Rs. 71,256 for the purchase of a flat in Delhi from the Delhi Development Authority. The sum represented the first instalment. Before the ITO exemption under S. 54 was claimed by the assessee in regard to the surplus realised on the sale of the residential house at Jabalpur. This was denied by the ITO. Thereafter the matter was taken in appeal before the AAC who also upheld the order of the ITO. Ultimately, the Tribunal also upheld the finding of the ITO. Hence, the assessee approached the Tribunal for making reference to this Court. Therefore, the Tribunal has referred the aforesaid question of law for answer by this Court.