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2017 (7) TMI 856 - AT - Income TaxValuation of property - reference to DVO - proper determination of cost of construction of property - Held that:- Admittedly, the Assessing Officer has adopted the cost of construction as per Stamp Valuation Ready Reckoner which cannot substitute the actual cost of construction provided assessee is able to substantiate his claim. However, if assessee is not able to substantiate its claim then valuation of property needs to be referred to a Registered Valuer/ DVO for determination of value of property. Whatever the discrepancies were pointed out by the Assessing Officer for rejecting the assessee’s claim were explained before ld. CIT(A), however, ld. CIT(A) has not commented upon the same in detail. Considering the entirety of facts, we consider it in the interest of justice that the Architect’s certificate being that of an expert should be admitted to advance the cause of substantial justice. The Assessing Officer would be free to refer the valuation of property to DVO for proper determination of cost of construction of property. After taking into consideration the opinion of two experts, he will frame the assessment de-novo. In the result, the assessee’s application under Rule 29 of ITAT Rules, 1963 is allowed and the matter is restored back to the file of the Assessing Officer for de-novo assessment in terms of aforementioned observations. Appeal of the assessee allowed for statistical purposes.
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