2023 (3) TMI 116 - AT - Income Tax

Reopening of assessment u/s 147 - Addition on account of Long Term Capital Gain - HELD THAT:- Re-opening of the assessment in assessee’s case was justifiable as the independent satisfaction was given. Besides that, the assessee in the details filed in Income Tax Return did not consider the Jantri Value in computation of gain which is the disputed fact by the Revenue. Therefore, ground no.1 is dismissed.

LTCG Computation - As from the perusal of the records it can be seen that in the return of income in respect of land and the value as determined by the DVO is approximately 8.95% higher but less than 10%. This was never disputed or controverted by the Revenue at any point of time. As per third proviso to Section 50C brought on statute w.e.f. 01.04.2019, the Tribunal on various occasions has applied the said proviso retrospectively as the difference is less than 10% in the actual value taken than the DVO’s value. Therefore, ground no.2 is allowed.