Facts
a)
Assessee earned capital gain on sale of a residential house property.
Thereafter, he paid certain amount to one 'M' for purchase of another residential
house property and, accordingly, claimed exemption under section 54.
b)
In terms of agreement, 'M' had to transfer house property to assessee
after getting it constructed. However, in view of failure of 'M' to complete
construction of property, purchase agreement was cancelled and amount was
refunded to assessee.
c)
Assessing Officer (AO) taking a view that assessee neither purchased nor
constructed a new house property within the time-limit stipulated in section 54,
rejected his claim for exemption.
d)
The CIT(A) confirmed the order of AO. Aggrieved assessee filed the
instant appeal before the tribunal.
