P&H HC Denies Sec 54 Exemption for Two Separate independent Houses

Sh. Pawan Arya Vs CIT (Punjab and Haryana High Court) Punjab and Haryana High Court has dismissed an appeal filed by assessee Sh. Pawan Arya, affirming the Income Tax Appellate Tribunal’s (ITAT) decision to deny him exemption under Section 54 of the Income Tax Act, 1961, for the acquisition of two independent residential houses. The court reiterated that the plain language of the statute grants exemption for only one residential house. The assessee’s appeal stemmed from the assessment year 2005-06, where he claimed capital gains exemption on the sale of a flat, contending that he h...