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2023 (5) TMI 1099 - AT - Income TaxAddition u/s 56(2)(x) - deemed sale consideration - stamp duty valuation of property being higher than the transaction value - assessee is claiming, stamp duty valuation of the flat as on the date of the agreement as deemed sale consideration for the purpose of section 56(2)(x)(b) invoking the first & second proviso to the said section - HELD THAT:- In the instant case, the son of the assessee has been allotted the concerned flat on 22.11.2010 and the assessee has become co-owner of the said property. The assessee has filed copy of the registered Deed which indicates that a cheque was paid in respect of the allotment of the property on 11.11.2010. The assessee has also filed a copy of bank statement of Shri Ashish Modi from which it is seen that the said payment has been withdrawn from his bank account on 23.11.2010. As far as the condition of part payment is considered, it is not in dispute. CIT(A) and the AO has disputed the allotment letter. According to the AO and CIT(A), the allotment letter is not in the nature of the agreement for sale. However, we find that the Tribunal in the case of Parth Dasrath Gandhi vs Addl./Deputy/Asst. CIT [2023 (1) TMI 1253 - ITAT MUMBAI] held that “the allotment letter should be considered as agreement for sale.” The assessee fulfills the requirement of proviso 1 & 2 of section 56(2)(x)(b) of the Act and therefore, we feel appropriate to restore this issue to the file of the AO for limited purpose of comparing the stamp duty valuation as on the date of the allotment with the transaction value recorded in the registration document. Accordingly, the AO shall give effect to this decision after affording adequate opportunity of being heard to the assessee in terms indicated above. The Grounds raised by the assessee are accordingly, allowed.
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