During the relevant assessment year, the assessee invested her capital gains income in notified bonds and claimed exemption u/s.54EC. The Assessing Officer denied the exemption on the ground that the investment in the bonds was in the joint names which is not permitted under the above Section under which it is the assessee who has to invest the gains in her own name. The CIT(A), however, held that there is no such requirement in the Section and since the assessee had invested the sale proceeds of the shares in the REC bonds without any contribution from her son, the Section was complied with and the exemption cannot be denied.
ITO v. Smt. Saraswati Ramanathan