ASHOK SYAL Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) This appeal has been preferred by the assessee under Section 260A of the Income Tax Act, 1961 (in short, "the Act") against the order dated 10.5.2005, Annexure A.5 passed by the Income Tax Appellate Tribunal, Amritsar (for brevity, "the ITAT") in ITA No. 395 of 2000. It was admitted on 13.11.2006 for determining following substantial questions of law:-

(2.) Learned counsel for the appellant submitted that the property which was purchased by the assessee was a residential house as the assessee had built a room which was let at the rate of Rs. 250/- per month, though to a labourer. According to the counsel, once it was habitable, it would fall within the parameters of a "residential house" and the benefit under section 54(1) of the Act was admissible to the assessee.

(3.) On the other hand, learned counsel for the revenue supported the order passed by the ITAT.