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2019 (5) TMI 425 - AT - Income TaxRevision u/s 263 - valuation of capital gain - valuation of property - the bungalow is found in extremely dilapidated condition - cost of acquisition - valuation as on date OR as on 01.04.1981 - property was constructed during Portuguese Regime - finding of the Learned CIT that the cost of property should be taken as Nil for calculation of the long term capital gain - CIT observed that the Registered Valuer report suffers from self contradiction - HELD THAT:- The order of the AO could not be termed as erroneous or prejudicial to the interest of the revenue warranting exercise of revisional jurisdictional u/s 263 because the Learned CIT formed a different opinion. The valuer as simply commented upon condition of the property during the course of his verification only. This does not automatically mean that property was under bad and dilapidated condition as on 01.04.1981. However, we find that when two views are possible and that has resulted in loss of the revenue it cannot be treated as erroneous order prejudicial to the interest of the revenue unless the view taken by the Assessing officer is unsustainable in law. We find nothing contrary to come to a conclusion that the Learned AO has not made any enquiry in the assessment proceeding. Taking into consideration, the entire aspect of the matter we are of the considered view that the order impugned before us is nothing but a change of opinion and the very basis of such order i.e. the finding of the CIT does not depict the original factual matrix of the matter. At the cost of repetition we say that the valuation of the property was made upon inspection on 31.01.2009. The description of the property was in respect of that relevant point of time and not of the 01.04.1981 of which the valuation was assessed by the registered valuer. Since, the very basis of the finding of the CIT is not proper, we find no merit in the order impugned before us u/s 263 of the Act passed by the Learned CIT. Thus, the same is hereby quashed. The appeal preferred by the assessee is, therefore, allowed.
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