Shalini Rajput Vs CIT (ITAT Delhi)
The Income Tax Appellate Tribunal (ITAT), Delhi, allowed the assessee’s appeal after holding that the Income Tax Department could not adopt contradictory positions on identical Long-Term Capital Loss (LTCL) claims arising from the sale of the same jointly owned property. The Tribunal found that the assessee’s LTCL computation was supported by documentary evidence and that an identical claim made by the co-owner had already been accepted in scrutiny proceedings.
The appeal related to Assessment Year 2022-23. The assessee had filed a return declaring income of ₹5,60,210. During scrutiny, the Assessing Officer (AO) examined the claim of Long-Term Capital Loss of ₹2,94,41,694 arising from the sale of a jointly owned property in DLF Phase-V, Gurugram. The property had been purchased jointly with the assessee’s husband for ₹3,81,81,134, with the consideration paid in instalments during Financial Years 2010-11 to 2012-13. The property was sold on 28 June 2021 for ₹4.80 crore, and the assessee disclosed her 50% share of ₹2.40 crore while claiming indexed cost of acquisition and resulting LTCL. The AO disallowed the claimed cost of improvement of ₹3,87,12,877 and recomputed the transaction as Long-Term Capital Gain (LTCG) of ₹92,71,183. The Commissioner of Income Tax (Appeals) upheld the assessment.
