No Section 54F Exemption for Shed on Agricultural Land, Not Considered Residential House

ACIT Vs Himanshu Garg (ITAT Delhi) In the case of ACIT vs. Himanshu Garg, adjudicated by the ITAT Delhi, the central issue revolved around the eligibility of exemption under Section 54F of the Income Tax Act, 1961. This provision allows individuals or Hindu Undivided Families (HUFs) to claim exemption from long-term capital gains tax if the gains are reinvested in a new residential property within a stipulated period. The controversy arose over whether a property with a covered area of 500 square feet on agricultural land qualified as a “residential house” under Section 54F. Factua...