Section 54 Deduction Allowed Despite Incomplete Documents: ITAT Bangalore

Javaji Naga Darshan Vs ITO (ITAT Bangalore) The Bangalore ITAT allowed the assessee’s claim for deduction under Section 54/54F, holding that substantive investment in construction of a residential house cannot be denied merely due to incomplete documentation. The AO and CIT(A) had disallowed the claim of ₹33.18 lakh on the ground that the assessee failed to furnish complete documents such as approved plans, possession certificate, and full construction bills. However, the Tribunal observed that: The assessee had produced a Joint Development Agreement (JDA), Sample construction bills, and ...