Structural Improvements Qualify as Construction for Section 54F Deduction: ITAT Bangalore

Advertisement Kaziyur Narayanan Godha Vs ITO (ITAT Bangalore) The Income Tax Appellate Tribunal (ITAT), Bangalore allowed the assessee’s appeal and directed the Assessing Officer to grant deduction under Section 54F of the Income-tax Act in respect of long-term capital gains invested in construction and structural improvements to an existing residential property. The dispute arose after the assessee sold a vacant site during AY 2022-23, computed long-term capital gains of ₹25,24,251 and claimed exemption under Section 54F on the ground that the amount had been reinvested in construc...