Even if Assessee failed to claimed deduction in return of Income, Assessing Officer was directed to allow seduction.

Even if Assessee failed to claimed deduction in return of Income, Assessing Officer was directed to allow seduction

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Even if Assessee failed to claimed deduction in return of Income, Assessing Officer was directed to allow seduction.                                                                                                                                       

 Assessee failed to claimed deduction in return of Income, but Assessing Officer was directed to allow

– Manohar Reddy Basani v. ITO [2018] 94 taxmann.com 321 .)
The assessee neither disclosed the capital gains in the return of income nor claimed any deduction u/s 54F of the Act, the assessee is not entitled to get any deduction u/s 54F. Merely on account of fact that the assessee has not claimed exemption, the same could not have been denied.
CIT(A) ought to have considered the issue on merits since the decision of the Supreme Court in the case of Goetze (India) Ltd. would not debar the first appellate authority to consider the fresh claim, if any, so as to arrive at the correct taxable income.
Therefore ITAT set-aside the orders passed by the A.O. and direct the A.O. to allow the claim of deduction u/s 54F of the Act – Manohar Reddy Basani v. ITO [2018] 94 taxmann.com 321 .)

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