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2020 (1) TMI 353 - ITAT AHMEDABADAssessment u/s 153C - Addition of brokerage commission - addition made by the AO on the basis of information received during the course of assessment proceedings - HELD THAT:- The assessee has explained that this commission was reflected in the books of accounts and included in the commission receipt by the assessee and offered to tax. This aspect has been considered by the ld.CIT(A) on the basis of explanation and bank statements furnished during the course of assessment proceedings and found that the addition was being made without any evidence, and therefore, unjustified. Before us also, there is no material to justify action of the AO for making the impugned addition. In a proceeding under section 153C, no addition can be made in the absence of any incriminating material. Undisputedly, there is no material evidence with the AO to make the impugned addition. Capital gain computation - nature of land sold - agricultural land of capital asset - Addition with aid of section 50C - CIT- A deleted the addition admitting additional evidence - HELD THAT:- If an agriculture land is situated beyond 8 kms. from the local limit of any municipal or cantonment area, whose population is more than ₹ 10 lakhs, then that would not fall within the ambit of definition ‘capital assets. This demarcation of the geographical situation of the land is to be seen from the boundary notified by the CBDT in its gazette notification. It was brought to the notice of the ld.CIT(A) that the CBDT has notified boundary from where it is to be measured vide notification no.9447 dated 6.1.1994. Thereafter, it has not been revised, and from that boundary limit, geographical situation of the mainland was beyond 8 kms. Hence, it was not a capital asset. As far as admission of additional evidence is concerned, if the ld.CIT(A) has entertained the notification no.9447 for determining the geographical situation of the land of the assessee, then to our mind, this type of material can be considered by the ld.CIT(A) under Rule sub-rule (4) of Rule 46A, and there cannot be any violation at the end of the ld.CIT(A). Considering all these aspects, we are of the view that the ld.CIT(A) has considered the issue analytically and recorded a categorical finding that the land in dispute was situated beyond 8 kms. and it was not a capital asset on whose transfer capital gain can be assessed in the hands of the assessee. - Decided against revenue
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