No AI summary yet for this case.
Order u/s.254(1)of the Income-tax Act,1961(Act) लेखा लेखा सद"य लेखा लेखा सद"य सद"य राजे"" सद"य राजे"" राजे"" केकेकेके अनुसार राजे"" अनुसार अनुसार PER RAJENDRA, AM- अनुसार Challenging the order dated 21/08/2014 of the CIT (A)-29,Mumbai, the Assessing Officer (AO) has filed the present appeal. Assessee, and AOP, filed its return of income on 31/03/2011, declaring total income of Rs. 1, 55, 91, 350/-. The AO completed the assessment on 28/03/2013, u/s.143 (3) of the Act, determining its income at Rs. 2, 08, 50, 060/-. 2.Effective ground of appeal
is about computation of capital gains arising on transfer of capital assets. During the assessment proceedings, the AO found that the assessee had sold three flats located at Wadala (East), Mumbai and had shown Long-Term Capital Gain (LTC G) of Rs. 1.55 Crores on the sale of the flats, that the assessee had worked out the LTC G by taking the benefit of indexation on the property by taking the cost of acquisition as on 01/04/1981. He was of the opinion that the assessee was entitled to claim indexation from the AY. 2003 – 04, the year in which the asset was first held by the assessee as per the provisions of section 48 (3) of the Act,that the assessee had acquired the asset as a gift, to determine the cost of acquisition in such cases provisions of section 49 of the Act were to be applied. He called for an explanation from the assessee in that regard. After considering the reply of the assessee, the AO held that benefit of indexation on the property would be available to the assessee from the AY. 2003 –
04. Accordingly he reworked the LTC G at Rs. 2.08 Crores. 3.Aggrieved by the order of the AO, the assessee preferred an appeal before First Appellate Authority (FAA). Before him, it made elaborate submissions and referred to certain case 6855/M/14-SPV family Trust laws. It was argued before him that the issue stands covered in its favour by the order of the FAA in its own case for the AY. 2008 – 09 on identical facts, that the said order of the FAA was further approved by the Tribunal by its order dated 10/08/2012. After considering the submission of the assessee and the order of the assessment, the FAA held that the previous owner of the property held the property before 01/04/1981, that the fair market value of the flats said to be taken as on that day, that indexation had to be allowed from that date.