Section 87A Rebate Cannot Be Denied Solely Because LTCG Exceeds Rs.1 Lakh: ITAT Surat

Sarikaben Gopalbhai Polekar Vs ITO (ITAT Surat) The assessee filed her return of income for AY 2024-25 on 15.07.2024 under the new tax regime under section 115BAC of the Income Tax Act, declaring total income of Rs.4,30,020. The income included Long Term Capital Gains (LTCG) arising from the sale of immovable property, which was taxable under section 112 of the Act. Since her total income was below Rs.7,00,000, she claimed a rebate of Rs.25,000 under section 87A against the tax payable on the LTCG. However, while processing the return under section 143(1) through an intimation dated 15.04.2025...