My father is not PAN holder. He has taken 4000 sq ft open plot in 1985 on 99 years lease from Agricultural Market Committee to run a business General Merchant and Commission agent.
He has made construction (not RCC) in 1985 cost Rs. 30000/- Appx
In 2000 he has demolished Old construction and new RCC construction in 875 Sq ft area is done Cost Rs. 320000/- Appx
Being small scale businessman and lack of knowledge of taxation he has not applied for PAN. Also his Income was never taxable / there was not any transaction where PAN is mandatory.
He has transferred his open plot and Commercial shop cum godown to one Person for Rs. 1140000/- in cash and full amount is utilised to purchase residential flat in his son's name
He or his family does not own any house other than mentioned above
He is not having any source of income and fully dependent on his Son.
ITO has rejected exemption under section 54F of capital gain as flat is purchased on Son's name and send demand Notice for Rs. 281740/-
30 September 2015
Since you are claiming that your father does not have PAN, his income was never taxable, small scale businessman, lack of knowledge, full value of consideration received in cash, purchased flat in the name of son etc etc.....
Hence make a request application to CIT for revision petition rather than APPEAL.
30 September 2015
no any time limit. Make sure the assessee goes personally to the office. Avoid taking any learned person with you. You innocence is your ASSET.
See the amount involved in capital gain is small. 320,000 after indexation might get inflated. Sale value is 11,40,000
30 September 2015
Please try to understand that from whatever facts disclosed by you in the above QUERY, you have NO GROUND of APPEAL. Your side is WEAK. Ignorance of law is NEVER regarded as valid excuse, please emphasize that thought within yourself.
Revision petition can help you because your case appears to be GENUINE.
On top of that you want to go for appeal...make it before 4/10/2015 and then proceed to 264
30 September 2015
Further you could have claimed improvement cost , before 8 years , as its not possible to verify now . that option was there before filing the ROI
30 September 2015
I do agree our side is weak. Our ignorance of law is out frustration / being aggrieved as buyer has purchased in Cash for Rs. 1140000/- neither shown in his books of accounts nor in Return also he sold the same within 2 years for Rs. 21 lacs without paying any tax and we were getting notices by ITO
CAclubindia
