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2015 (2) TMI 663 - AT - Income TaxAdoption of the sale consideration for the purpose of computation of capital gain - transfer of reversionary rights in land - as per assessee sale consideration cannot be taken more than the actual sale consideration shown in the transfer deed, i.e., a sum of ₹ 41.51 crores - also if the sale consideration is taken as valuation done by the stamp valuation authorities then there is a mistake in calculation of sale consideration as TDR value has been taken at 100 per cent - Held that:- According to the provisions of section 50C the assessee cannot obtain the benefit as provided in sub-section (2) of section 50C as neither of the conditions described in sub-section (2) has been fulfilled by the assessee. Thus neither the Assessing Officer nor the learned Commissioner of Income-tax (Appeals) could adopt sale consideration of the property any amount less than the value adopted or assessed by the stamp valuation authority as section 50C does not recognise such curtailment of the sale consideration in any manner. Therefore, we confirm the findings of the learned Commissioner of Income-tax (Appeals) that the sale value of the consideration taken by the stamp valuation authority was the right amount for the purpose of calculation of long-term capital gain.There is no force in the contention of AR regarding mistake having been committed by the stamp valuation authority in taking the value of TDR and it has been clearly described in the order of the learned Commissioner of Income-tax (Appeals) that the value of TDR also has been taken at 60 per cent. and it has not been taken at 100 per cent - Decided against assessee. Adoption of fair market value while computing the long-term capital gains - CIT(A) confirming the adoption of fair market value as on April 1, 1981 instead of ₹ 5,62,50,775 in respect of the appellant's rights in land at Juhu - Held that:- This issue is squarely covered in favour of the assessee by the decision of of CIT v. Puja Prints [2014 (1) TMI 764 - BOMBAY HIGH COURT] and direct the Assessing Officer to adopt fair market value of the impugned property as on April 1, 1981, at ₹ 5,62,50,775 as per valuation submitted by the assessee of the Registered Valuer - Decided in favour of assessee. Applicability of provisions of section 50C - Held that:- Section 50C is a deeming provision and is applicable if the condition laid down therein are fulfilled. It has already been held that section 50C(1) is applicable and the assessee has not made out any case for applicability of sub-section (2) of section 50C. Decided against assessee.
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