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2019 (8) TMI 1752 - AT - Income TaxCapital gain computation - Addition invoking the provisions of section 50C - immovable property falls under litigation for quite a number of years - Whether market value of the property will be considerably less than the value determined by the Stamp Valuation Authority because normally valuation of the State Stamp Authority would be a pre-determined value based on the market value of the surrounding land having clear title? - HELD THAT:- The sale value realised by the assessee is approximately 73% of the value determined by the Valuation Officer and the Valuation Officer has adopted 94% of the market value determined by the State Stamp Valuation Officer. We are of the firm view that the allowance granted by the Valuation Officer is too low considering the drawbacks of the land sold by the assessee. The assessee has realised reasonable amount as sale consideration from his litigated property being 73% of the value determined by the Valuation Officer and therefore there is no necessity to disturb the sale value as the same could be treated as the market value of the property considering the drawbacks of the property. We hereby direct the AO to delete the addition made in the hands of the assessee while computing his long-term capital gains. Appeal of the assessee is allowed.
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