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2021 (9) TMI 594 - AT - Income TaxRevision u/s 263 - sale of land being long term capital gain - allocation sale consideration towards agriculture land and the other industrial land and according to CIT the allocation towards agriculture land was disproportionate - even if the proportionate to area the value is bifurcated, the allocation to the industrial land should have been more - Whether order passed by the AO is erroneous and prejudice has been caused to the interest of revenue? - HELD THAT:- In the instant case, while recording the conclusion that the order passed by the AO is erroneous and prejudicial to the interest of the Revenue, apparently the record of the assessment proceedings was not examined by the Principal CIT in its entirety and objectivity. The allocation was made on the basis of the rates adopted for stamp duty purposes and if on the said basis the allocation of the composite sale consideration has been made, such a fact cannot be ignored and cannot be said to be an erroneous judgment of the Assessing Officer. It is one of the basis on which such valuation can be accepted. It is not the case that the total value as per stamp duty purposes as per section 50C was more than what was adopted for the different capital assets being sold. The assessment order appears to have been made after due consideration of the material. In this view of the matter, the material on record and the conclusions arrived at, the proceeding initiated by the Principal CIT u/s 263 of the Act is not justified - Decided in favour of assessee.
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