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The new asset i.e. residential house has been purchased within two years from the date of transfer of the original asset i.e shares, and thus, the assessee is entitled for benefit of section 54F of the Act.

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Sec. 54F of Income Tax Act, 1961—Capital Gain—Assessee entitled to deduction under section 54F as residential house has been purchased within two years from the date of transfer of the original asset.

Facts: CIT(A) erred in upholding the order of AO and in not allowing deduction under section 54F even for the amounts spent on construction of the residential house property after the date of long term capital gain/transfer of the original asset.

Held, that new asset i.e. residential house has been purchased within two years from the date of transfer of the original asset i.e shares, and thus, the assessee is entitled for benefit of section 54F . The finding of the Ld. CIT(A) on the issue in dispute is accordingly set aside and the Assessing Officer is directed to allow the benefit of section 54F. The grounds of the appeal of the assessee are accordingly allowed. - RAJIV MADHOK V/s ASSTT. CIT - [2020] 80 ITR (TRIB) 427 (ITAT-DELHI)