TMI Blog2020 (12) TMI 726X X X X Extracts X X X X X X X X Extracts X X X X ..... e Urban Development Authority (MUDA). The specific objection of the Assessee to the preliminary report of the DVO has not been considered by the DVO while giving his final report. In the circumstances, we accept the submission made by the learned Counsel for the assessee and direct that sale instance No.2 as given in the chart above should be excluded and if so excluded, the price of ₹ 80 lakhs received by the assessee should be accepted as correct. Consequently, there can be no addition on account of application of provisions of section 50C of the Act. The addition made is therefore directed to be deleted. Appeal of the assessee is allowed. - ITA No.933/Bang/2019 - - - Dated:- 17-12-2020 - Shri N. V. Vasudevan, Vice President ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act, the AO adopted full value of the consideration received and on transfer of ₹ 160 lakhs and computed LTGC as follows: Full value of sale consideration :1,60,00,000 Less: Indexed value 535090x711/406-937066 Indexed value 536690x711/406=939868 : 18,76,935 : 1,41,23,065 4. Even before the AO, the assessee had requested for a reference to the District Valuation Officer (DVO) for evaluating the value of the property under section 50C(2) of the Act. The AO made reference to the DVO but since the report had not been received by that time, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ority has banned any construction 1 activities on around 145 plots falling under survey number 4, Kurubarahalli village, as the authority intended to acquire certain lands for public utilities PUC is also among the notified plots. 5. It is learnt that there was a dispute between a private party as well as University of Mysore on ownership issue. Final verdict was pronounced by Honourable Supreme Court in favour of the Mysore University. Further it was intimated by the assessee that there were similar kind of disputes over other properties too. 6. Vide letter No SBR/Mysore North/275/ dated 23 01_2018, details of comparable sale instances of other properties during the period of valuation along with prevailing guideline value for th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erned SRO. two of the transactions, submitted by the assessee were found among the list. Both SIP ,have been considered while determining fair market value of the PUC. 7. Learned Counsel had filed an objection to the preliminary report vide letter dated 29.08.2018 of assessee s Chartered Accountant. The objections so raised reads as follows: The Assessee is having the following objections for adopting the fair market value as on 27-092010 as ₹ 95,68,400/- 1. The property was notified by MUDA to acquire the land vide notification no. LAQ(5)CR540/2005-06 Dated 03-04-2006. 2. There were lot of litigations regarding the ownership of the land. 3. Many suits were filed regarding the ownership of the lands at Sy no. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... chart would show that the same is an extraordinary instance of sale and the price adopted is also extraordinary. The learned Counsel s submission was that in the light of the fact that all the khatas in survey No. 4, Kurubarahalli Village, Kasaba Taluk, Mysore District, Mysore, have been declared to be void-ab-initio and in the light of the fact that there are many litigations in the ownership of the land, the DVO ought to have excluded second sale instance in the charge as given as Annexure to this order. If it is so removed the valuation of the property would be less than ₹ 80 lacs for which the Property was sold by the Assessee. The Learned DR submitted that the method adopted by the DVO is reasonable and should be upheld. 10. W ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
