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2011 (12) TMI 41 - HC - Income TaxComputation of capital gains - Fixing of Cost of Land - Value as on 1.4.1981 - AO fixed it at Rs. 100/- percent - CIT fixed it at Rs. 200/- percent - ITAT fixed it at Rs. 500/- percent - held that:- it is reasonable to fix the market value of the land by averaging the value given by the assessee and the assessing officer respectively Rs.500/- + Rs.100/- = Rs.600/2=Rs.300/-. In view of the same, we direct the assessing officer to fix the market value of the land as on 01.04.1981 at Rs.300/- per cent Notational Interest - money advanced by the assessee to the Trust - assessing officer was of the view that the said trust is enjoying the benefit of exemption and the assessee for the purpose of reducing the tax liability, invested the amount with the Trust without charging any interest and hence, it was only device for evading tax. - Held that:- Revenue has not shown any provision of law to charge notional income. - It is well settled principles of law in a taxing statute, one has to look merely at what is said in the relevant provision and there is no presumption as to a tax. - the assessing officer is wrong in holding that the assessee ought to have charged interest on the amount deposited with the Trust, which is not in accordance with law. - In view of the decision of Apex Court in the case of AJMERA HOUSING CORPORATION AND ANOTHER V. COMMISSIONER OF INCOME TAX reported in (2010 -TMI - 78018 - SUPREME COURT OF INDIA), decided in favor of assessee.
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