2. The appraiser, who is a natural resident, reflected, during the impugned year, the annual income from salary, capital gains and other sources. The only dispute under appeal concerns the nature of the valuation gain on the sale of the expert on the sale of an apartment in Sarvodaya Heights, Mulund. The above apartment was sold for the registered sale document for empty lakes of 02/08/20 1 1. The apartment in question was acquired by the Assessee of Nahur & Seth Enterprises by the letter of allocation 10/03/2008, whose rights were transferred by a contract registered on 30/09/2009. The cost of ownership was 87.21 lakes, including the registration and stamp duty of Rs.4.27 Lakes. The assessee reflected the subsequent capital gain as a long-term capital gain, with a duration of more than three years from the date of division/final payment. But not convinced, Ld. AO considered that the above-mentioned profit was inherent in the nature of a short-term capital gain, given that the holding period, as recorded in the purchase document recorded in the sales document, was less than three years. As a result, the above-mentioned income was considered a short-term capital gain and the benefit of indexation was denied to the appraiser. Similarly, there are provisions in the law in which an assessee is required to invest in another residential property within a specified period of time. For example, under Articles 54 and 54F, an assessee may claim an exemption from long-term capital gains when he buys a dwelling house within one year before and two years from the date of sale of such a long-term asset. He can also build a house or book a house within three years to benefit from the aforementioned exception.
For the purpose of calculating the period of one year, two years and three years, the actual date on which the assessee became the owner of the property is therefore relevant for deciding whether he fulfilled the conditions within the prescribed period. 6.1 However, the AO did not accept the above dates, i.e. 10.03.2008/26.06.2008 as the date of purchase of housing, but took as the date of purchase the date of registration of the contract of sale, i.e. 29.07.2009, and therefore found that the right to housing was maintained for a period of less than 3 years (from 02.08.2011 to 29.07.2009), and therefore determined the STCG (Short Term Gain) at RS. 1, 18,64,300/- without deduction of land costs, with the objection that the right was maintained for a period of less than 3 years. AO also found that the building in question was under construction at the time of the sale and that the expert had not obtained ownership of the apartment, so the complainant was not eligible for indexation. 6. I have carefully reviewed the facts, the AO`s findings in order of predisposition, the RA`s observations and the documents on the record. The facts of the case showed that the applicant had sold, during the contested year, the right to acquire dwelling No. 1202 in Sarvodaya Heights, Mulund empty, contract of sale of 29.07.2011. Registered on 2.08.2011, for a total underperformance of paragraph 1,18,64,300/-.
The apartment in question was booked at M/s Nahar & Seth Enterprise by paying on 10.03.2008 Rs. 11.00.000 / – for a total underperformance of r. 83.30.000 / The balance is 29.00.000/- on 28.03.2008. Rs.8,00,000/- on 25.06.2008 and rs.35,30,000/- on 25.06.2008 were also paid. However, the sales contract of 29.09.2009 was registered on 30.09.2009 due to its service/work constraint. Consequently, the complainant examined the length of time the right to housing was held for more than 3 years (10.03.2008/26.06.2008 as at 02.08.2011) and determined the resulting loss of LTC at RS. 1.57.414/- against the sale of the housing in question after the indexation of the performance of housing costs and declares the same to the ROI. 4. If the date of an agreement fixing the equivalent of the transfer of the asset and the date of recording of the transfer of the asset are not identical, the value referred to in paragraph 1 may be considered as the value which may be estimated by any authority of a Land Government for the purposes of payment of stamp duty for that transfer on the day of the agreement. . .