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2020 (4) TMI 116 - AT - Income TaxRevision u/s 263 - long-term capital gain in the hands of the assessee being 50% of assessee’s share in the property before allowing deduction u/s 54E by considering the fair market value of the property as on 01.04.1981 - CIT(A) directed the AO to adopt the computation of capital gain as on 01.04.1981 as declared by the assessee on the basis of the report of a registered value - HELD THAT:- We find on appeal by the assessee, Tribunal, vide order dated 23rd September, 2015, restored the issue to the file of the AO for fresh adjudication. We find, the AO, subsequently, passed an ex parte order u/s 144 of the Act and determined the total income in the hands of the assessee at ₹ 7,68,81,070/- as against the returned income of ₹ 4,70,82,272/-. CIT(A) gave partial relief to the assessee by substituting the fair market value of the property as on 01.04.1981 at ₹ 16,32,036/-. It is the submission of the assessee that in the case of the brother of the assessee, the Tribunal has quashed the section 263 proceedings initiated by the CIT against the order passed by the AO wherein he has considered the fair market value of the property at ₹ 95,28,000/- as on 01.04.1981. In hands of the brother of the assessee the AO has already considered the fair market value of the property as on 01.04.1981 at ₹ 95,28,000/- and since the assessee is holding 50% of the share in the said property, therefore, in the fitness of things the fair market value of the property has to be adopted at ₹ 95,28,000/- as on 01.04.1981. AO is accordingly directed to recompute the indexed cost of acquisition and consequential capital gain in the hands of the assessee. Since levy of interest on tax demand is consequential, the ground on this is dismissed. The grounds raised by the assessee are accordingly partly allowed.
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