Seven Adjacent Residential Units on Same Floor Constitute ‘One Residential House’ u/s 54 of Income Tax Act: ITAT

The ITAT has ruled that "seven adjacent residential units on the same floor constitute one residential house" for the purpose of claiming a tax exemption under Section 54 of the Income Tax Act. The tribunal's decision, which is a significant victory for the taxpayer, was made on the grounds that the company's claim was not supported by evidence. The ruling clarifies that a tax authority can't add a tax to a company's account without a valid reason.