RAVI JAKHAR,MUMBAI vs. ASS. COMMISSIONER OF INCOME TAX, CIRCLE 35(2), MUMBAI

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ITA 3299/MUM/2024Status: DisposedITAT Mumbai21 August 2024Bench: SHRI NARENDRA KUMAR BILLAIYA, HON'BLE (Accountant Member), SHRI SANDEEP SINGH KARHAIL, HON'BLE (Judicial Member)1 pages
AI SummaryAllowed

Facts

The assessee treated the sale of shares as a long-term capital asset and claimed exemption under Section 54F. The AO classified the sale as a short-term capital asset, denying the exemption. The AO also added Rs. 3,08,600/- as unexplained cash deposits. The CIT(A) confirmed the AO's findings.

Held

The Tribunal held that the amended provisions of Section 2(42A) of the Income Tax Act, which require a holding period of 36 months for long-term capital gains on shares, were not applicable to the assessment year 2013-14. Following the ruling in CIT vs. Exim Rajathi India (P) Ltd., the Tribunal concluded that shares held for 31 months qualified as a long-term capital asset.

Key Issues

Whether shares held for 31 months qualify as a long-term capital asset for the assessment year 2013-14 and if the cash deposit of Rs. 3,08,600/- is unexplained.

Sections Cited

2(42A), 54F, 48, 69, 234B, 234C

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “D” BENCH, MUMBAI

Before: SHRI NARENDRA KUMAR BILLAIYA, HON’BLE & SHRI SANDEEP SINGH KARHAIL, HON’BLE

For Appellant: Shri Madhur Agrawal & Shri Fenil Bhatt, A/R
For Respondent: Smt. Mahita Nair, Sr. D/R
Hearing: 19/08/2024Pronounced: 21/08/2024

आदेश की �ितिलिप अ�ेिषत /Copy of the Order forwarded to : अपीलाथ� / The Appellant 1. ��थ� / The Respondent 2. संबंिधत आयकर आयु� / Concerned Pr. CIT 3. 4. आयकर आयु� अपील ( ) / The CIT(A)- िवभागीय �ितिनिध ,आयकर अपीलीय अिधकरण, मुंबई /DR,ITAT, Mumbai, 5. 6. गाड� फाई/ Guard file.

आदेशानुसार/ BY ORDER, TRUE COPY

Assistant Registrar आयकर अपीलीय अिधकरण ITAT, Mumbai

RAVI JAKHAR,MUMBAI vs ASS. COMMISSIONER OF INCOME TAX, CIRCLE 35(2), MUMBAI | BharatTax