Capital Gain Exemption On Investment In Two Adjoining Properties

Advertisement DCIT Vs Priyanka Bhaskar Shah (ITAT Mumbai) Disagreeing with this view, Ms. Priyanka appealed to the Commissioner of Income Tax (Appeals) [CIT(A)], who ruled in her favor, treating the two flats as a single unit. The Revenue then appealed to the ITAT, which remanded the case back to the Assessing Officer, instructing physical verification of the flats. The ITAT clarified that if the flats were found to be combined as claimed, the exemption should be granted. This case emphasizes the need for physical inspection in determining whether adjoining flats qualify as a single residen...