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2018 (2) TMI 1790 - AT - Income TaxRevision u/s 263 - non consideration of provisions of section 50C applicability to the cold storage building so to substitute actual sale consideration by deemed sale consideration - Held that:- The assessment was framed after due enquiry/investigation by the AO. Section 50C speaks about transfer of land or building or both and the adoption of deemed valuation being valuation of stamp purposes as the full value of consideration. It does not speak of plant and this contention was put on record vide reply of the assessee whereby it has been put on record that it was a depreciable business assets duly disclosed in the return of income. The cold storage was sold as a whole and constituted plant under section 43(3) of the Act. The term “plant” has been interpreted as including cold storage building also and this line of reasoning is established by the Hon'ble jurisdictional High Court in the case of CIT vs. Kanodia Cold Storage [1974 (5) TMI 18 - ALLAHABAD HIGH COURT]. Thus provisions of section 50C of the Act is not applicable to the cold storage building so to substitute actual sale consideration by deemed sale consideration and the order of the Assessing Officer passed under section 147/143(3) of the Act cannot be a subject matter of section 263 - Decided in favour of assessee.
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