Section 54B, 54F, 144, 147 of Income Tax Act, 1961— Reassessment — Exemption u/s 54B and 54F— In the instant case, ground no. 1 to 3 are regarding validity of reassessment order passed under section 147 read with section 144 of the IT Act for want of valid service of notice under section 148 of the IT Act.

Held that—we find that the contention of the assessee is contrary to the record and further once the AO has issued a notice under section 148 dated 29.12.2009 which is also established from the Despatch Register filed before us, then the dispute of the service of the same will not render the assessment proceedings null and void. The notice under section 148 was duly issued by the AO and it was also attempted to serve on the assessee at the given address. The address is not disputed though the assessee has claimed to have shifted from the said address. However, all subsequent notices issued by the AO even one dated 01.12.2010 was received by the assessee in person issued at the same address, then the notice issued at the correct address with the report of the process server in the light of the subsequent notice issued at the same address received by the assessee would be deemed to be a proper service of the notice issued under section 148 of the Act. Accordingly, we do not find any error or irregularity in the impugned order of the ld. CIT (A) qua this issue.

Ground No. 4 & 5 are regarding denial of exemption under section 54F and 54B of the Act.

Held that— We find that if an agricultural land is purchased by the assessee from the sale proceeds of the existing land, then even if the said land is purchased in the name of the wife, the claim of deduction under section 54B is allowable. However, in the case in hand, despite the expiry of about 10 years from the alleged agreement to sale the assessee has admitted that no sale deed has been executed till date. Though the agreement to sale which has finally culminated in sale deed is relevant only for the purpose of the date of investment, but the alleged agreement to sale itself is not a title document transferring the ownership of land. Therefore, in the absence of subsequent sale deed, the claim of deduction under section 54B and 54F cannot be allowed based on such unregistered agreement to sale. The assessee has failed to prove that he has acquired the new asset within the prescribed period after the sale of the existing asset.[SHRI RAM NARAYAN S/O LATE SHRI NANDA JI VERSUS THE INCOME TAX OFFICER, WARD 2 (1) , KOTA] [2019] 14 ITCD Online (15) [ITAT JAIPUR]