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2011 (11) TMI 641 - ITAT AHMEDABADComputation of capital gain - deed of transfer of the flat - application of section 50C - Held that:- CIT (A) observed that payment of ₹ 59,16,000/- was not only related to the flats sold but it related to other properties and relinquishment of other rights also. The ld. CIT (A) was of the view that 1/3rd portion of payment in lieu of vacation of the flat will be justified. The assessee did not furnish any other basis. In absence of material a different estimation of allocation of the payment of ₹ 59,16,000/- at this stage is not possible. We, therefore, confirm the order of the ld. CIT(A) on the issue as there is no contrary material on record. As regards valuation of flat as on 1.4.1981 the admitted facts of the case are that the value declared by the assessee is supported by valuation report of a Registered Valuer. The AO has taken different valuation without obtaining valuation report from the DVO. The AO has taken the value as on 1.4.1981 on other basis. We are of the view that assessee’s valuation as on 1.4.1981 is supported by valuation by a technical person i.e. report of a registered valuer and contrary to that no such material or departmental valuation report is available on record. Merely on the basis of other general enquiries the valuation declared by the registered valuer cannot be substituted. We, therefore, set aside the orders of Revenue authorities on this issue and direct the AO to adopt the valuation of the flat as on 1.4.1981 as declared by the assessee. As regards application of section 50C the ld. AR has himself conceded, therefore this ground of the assessee is rejected. The AO is directed to recalculate the capital gain as per above discussion. This matter should be restored back to the file of AO for deciding the issue afresh as recomputation of capital gains has also been restored back to the AO for recalculation
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