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2013 (12) TMI 307 - ITAT HYDERABADComputation of long term capital gains – Earlier the assessee has entered into a development agreement with Sri Gourisanker Gupta, Smt. Saritha Gupta and M/s. Vansh Builders, for development of the property situated at 8-3-949/1, Punjagutta, (Ameerpet), Hyderabad - Later, the said agreement was cancelled - The assessee entered into an agreement to sell for transfer of land with M/s G. S. Builders P. Ltd., for a total consideration of Rs. 13 crores – Sri Gourisanker Gupta and Smt. Saritha Gupta are directors in M/s. G. S. Builders P. Ltd - Apart from sale consideration of Rs. 13 crores the assessee also received an amount of Rs. 2,66,26,000 vide agreement dated December 26, 2001 and Rs.11 lakhs on February 28, 2008 - Held that:- The consideration received through earlier agreement is nothing but a part of the sale consideration received by the assessee towards transfer of the property – Judgement of Smt. Smita N. Shah v. Joint CIT [2004 (7) TMI 285 - ITAT BOMBAY-H] cannot be followed - The findings in the case of arm's length transaction cannot be applied to the transaction of the assessee, where the parties were interrelated and the assessee was involved in tax evading methods – Decided against assessee.
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