COMMISSIONER OF INCOME TAX Vs. ABHINASH GUPTA

JUDGEMENT

(1.) THIS appeal has been filed by the Revenue under s. 260A of the IT Act, 1961 (hereinafter referred to as 'the Act') against 2000 -01 raising the following substantial question of law :

(2.) IN the present appeal, the assessee is an individual and deriving income from LPG distributorship. For the asst. yr. framed the assessment under s. 143(3) of the Act at an income of Rs. 7,60,580 while disallowing the claim of exemption of Rs. 4,04,664 under s. 54F of the Act. It was held by the AO that the assessee was not eligible for the benefit of s. 54F of the Act on the amount of repayment of housing loan taken for construction of residential house as the investment on the purchase of new residential house had not been made within the specified time of one year before the date when the long -term capital gain arose. The order of the AO was upheld by the CIT(A). However, the Income -tax Appellate Tribunal coming to the conclusion that the investment was made by the assessee in the residential house during the period 1st assets, therefore, he was eligible for the benefit of s. 54F of the Act. Against the said order, the instant appeal has been filed by the Revenue.

(3.) WE have heard the learned counsel for the parties.