COMMISSIONER OF INCOME TAX Vs. A.S. AULAKH

JUDGEMENT

(1.) ON the application filed by the Revenue before the Income -tax Appellate Tribunal, Chandigarh Bench, Chandigarh ("the Tribunal"), being R.A. No. 432/Chd/1988 in ITA No. 245/Chd/1987, in respect of the asst. yr. 1983 -84, the Tribunal was persuaded to refer the following question of law for the opinion of this Court :

(2.) IT would be necessary to make a brief reference of facts as emerge from the order of the Tribunal, where the only issue debated was that the capital gain computed by the Income -tax Officer ("the ITO"), should have been treated as long -term gains as contemplated by s. 54F of the IT Act, 1961 (for brevity, "the Act"). The assessee had sold a small plot with a small superstructure on it for a sum of Rs. 2,25,000 during the asst. yr. 1983 -84. He claimed the benefit of s. 54F of the Act. The assessee claimed that the plot had been purchased and the construction was started long before the AO, however, on the basis of information collected from the assessee held that the benefit of s. 54F of the Act was not when he received the first instalment and the remaining two instalments were received later on. On that basis the AO superstructure is raised on the plot, it becomes entirely a different asset and the life of this asset cannot be linked with

(3.) ON appeal, the CIT(A) upheld the order of the AO and the assessee approached the Tribunal.