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2014 (11) TMI 1119 - AT - Income TaxComputation of capital gain - Held that:- As upheld the action of the Assessing Officer that the assessee has treated the purchase of the plot as an investment. He has sold his investment in three parts. With regard to earlier two sale transactions, he has already offered the income under the head “capital gain” but later on revised his stand. This revision has been made after the survey operation. It was not a venture for business purpose. Therefore, the assessee cannot be permitted to claim that he has completed the project of development in this year and income is to be recognised in this year. The loss, if any, though represent to earlier years, not to this year. More so, if the rates for determining the sale consideration for the purpose of section 50C is to be seen, then it would suggest that there is no loss. The loss has been computed by taking the sale consideration at ₹ 902/- per sft and the cost of acquisition at ₹ 1085/- per sft. We do not know the guideline value of the property on 26.03.2007 when the assessee sold two pieces of land. If it was more than ₹ 1085 per sft, then there could not be any loss and for the sake of arguments, contention of the assessee are to be accepted in this year, then ₹ 1400/- per sft is to be applied on earlier two sale deeds also for the purpose of computation of capital gain. Then again there would not be any loss. Therefore, we do not find any merit in the contentions of the learned Counsel for the assessee, consequently appeal of the assessee is dismissed. Miscellaneous receipts - Held that:- On verification of the facts and circumstances found that this sum on miscellaneous receipts included in the provisional P&L a/c at the time of survey has been included in the total amount offered by the assessee at ₹ 3,15,00,603/-. The learned CIT (A) has reproduced the list of the persons to whom these miscellaneous sundry credit represent. After going through the findings of the CIT (A) in Para No.4.5, we are of the view that the assessee has duly explained the miscellaneous receipts accounted during the course of survey and pointed out that these receipts have been included in the total amount offered by the assessee. The learned DR could not bring any material to our notice pointing out any factual error in appreciation of the facts by the learned CIT (A). Since the assessee himself has accounted those miscellaneous receipts in the total amount offered during the course of survey, no separate addition can be made. The learned CIT (A) has rightly deleted the addition
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