Sections 54B & 54F Deductions Reopened: ITAT Ahmedabad Remands Capital Gains Case for Fresh Adjudication

Ravindrabhai Shankarbhai Patel Vs ITO (ITAT Ahmedabad) The Ahmedabad Bench of the ITAT allowed the assessee’s appeal for statistical purposes and set aside the CIT(A)’s order that had denied deductions under Sections 54B and 54F for AY 2015-16, resulting in taxation of long-term capital gains of ₹1.66 crore. The assessee had sold agricultural land and claimed reinvestment benefits in new agricultural land and a residential property, including deposits under the Capital Gain Account Scheme. The disallowance by the AO and confirmation by the CIT(A) were primarily on the ground that substan...