ITAT JUDGEMENT ON NON DEPOSIT OF AMOUNT IN CAPITAL GAIN ACCOUNT SCHEME

ITAT Judgement on Non Deposit of Amount in Capital Gain Account Scheme

Parties : Shri Kasi Viswanathan Ramnathan vs. ITO

Decision of : Hon’ble ITAT, Chennai

Date of Order : May 29, 2020

ITA No. 2040/CHNY/2017

Issue : Non-deposit of amount in Capital Gain Account Scheme

Allowing the entire exemption against the LTCG, Hon’ble Tribunal held that mere non compliance of a procedural requirement u/s. 54(2)/54F(4) [of depositing un-utilized amount into capital gain account scheme] by itself cannot be the basis for denying the exemption u/s. 54/54F, if assessee is, otherwise, in a position to satisfy that mandatory requirement u/s. 54(1)/54F(2) [of purchase/construction of new property] is fully complied with within time limit prescribed in the said sections.

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