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2016 (4) TMI 697 - AT - Income TaxEstimation of sale price - valuation report issued by the registered valuer relied upon for sale estimation - Held that:- On perusal of facts, we notice that the assessee entered into Joint Development Agreement with land owners. As per the said Joint Development Agreement, separate sale deeds are executed by respective parties for undivided interest in land and construction cost. The assessee is entitled for construction cost and accordingly, recognized revenue from construction cost of apartments, which is supported by valid sale deeds. The CIT(A) categorically stated that the sale price declared by the assessee is in line with valuation arrived by the registered valuer. The valuation of the property is done keeping in view of prevailing market prices of the property, which cannot be construed as sale price of the property. Therefore, in our considered opinion, the valuation report issued by the registered valuer cannot be a basis for estimation of sale price, when the A.O. could not pointed out any errors or mistakes in the books of accounts and more particularly when the sales is supported by valid sale deeds. The CIT(A) has elaborately discussed the issue. We do not see any reasons to interfere with the order passed by the CIT(A). Hence, we inclined to uphold the order passed by the CIT(A) and direct the A.O. to delete the additions. - Decided in favour of assessee.
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