Section 54EC - Capital Gain

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Guest

Guest (Querist)

10 December 2008 If I made an investment in the bonds under section 54EC before expiry of 6 months, by way of cheque and the stamp on the bond is of the date of submmission of cheque. but, if the clearance of cheque is after the date of expiry of 6 months will i be able to avail the exemption? the assessing officer denies to grant the exemption. please resolve as soon as possible.

K V Subba Rao

K V Subba Rao (Expert)
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10 December 2008 Please visit https://www.caclubindia.com/articles/article_list_detail.asp?article_id=923

There appears to be scope for treating the date of tendering Cheque as date of payment

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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10 December 2008 The date of payment of amount by cheque would be the date of the presentation of the cheque and not the date of clearing if it is not dishnoured. Ref:- CIT Vs. Ogale Glass works ltd (1954) 25 ITR 529(SC)

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Guest

Guest (Querist)

11 December 2008 Thanks a lot to both of you. I searched both the case laws. and found interesting facts. I am still in search of any specific point of Investment.