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2022 (4) TMI 450 - AT - Income TaxLTCG computation - Reference made by the Assessing Officer to the DVO for valuation - directing the Assessing Officer to adopt the cost of acquisition of asset of the assessee as on 01.04.1981 as against on the basis of the DVO’s report - HELD THAT:- As held by the Surat Bench of this Tribunal in the case of Shri Mahdevbhai Mohanbhai Naik [2018 (7) TMI 2029 - ITAT SURAT ] the amendment made in the provision of Section 55A by the Finance Act, 2012 with effect from 01.07.2012 is substantive in nature and the same, therefore, is applicable to AY 2013-14 and onwards. Since the year involved in the present case is AY 2012-13, we respectfully follow the said decision of the Co-ordinate Bench of this Tribunal and uphold the impugned order of the learned CIT(A) in treating the reference made by the Assessing Officer to the DVO under Section 55A of the Act as bad in law and directing the Assessing Officer to adopt the fair market value of the land sold by the assessee as on 01.04.1981 for the purpose of computing Long Term Capital Gain on the basis of valuation report of the Registered Valuer as the said report representing experts’ opinion on the technical issue of valuation was available on record. Ground Nos. 1 & 2 of the Revenue’s appeal are accordingly dismissed. Deduction u/s 54B - As from the perusal of the agreement to sale, final sale/conveyance deed was to be executed within three months which was done on 13.06.2011 and the sale proceeds had also been received by the assessee substantially at the time of execution of agreement to sale which were duly invested by the assessee in the purchase of new agricultural lands. These findings of facts recorded by the learned CIT(A) in his impugned order clearly show that there was a transfer of original asset, i.e. old agricultural land, by the assessee on 11.04.2011 itself on execution of agreement to sale coupled with possession within the meaning of Section 2(47)(v) of the Income-tax Act, 1961 read with Section 53A of the Transfer of Property Act, 1882; and the assessee having purchased the new agricultural lands within the specified period after the date of the said transfer was entitled to claim deduction under Section 54B of the Act. At the time of hearing before us, learned DR has not been able to bring anything on record to rebut or controvert the finding of facts recorded by the learned CIT(A). We, therefore, find no justifiable reason to interfere with the impugned order of the learned CIT(A) giving relief to the assessee on this issue and upholding the same, we dismiss Ground No.3 of the Revenue’s appeal.
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