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2018 (11) TMI 1241 - ITAT DELHICapital gain - Transfer of a capital asset u/s 50C - value adopted or assessed by any authority of the State Government or Stamp Valuation Authority - determine the fair market value as per the circle rate / stamp value rate - Held that:- It is not disputed by the revenue authorities that the transfer of right over the plot admeasuring 299 sq. yds amounts to transfer of a capital asset in terms of section 2(47). The assessee had acquired the plot in question by way of allotment and had acquired the right through endorsement document. This endorsement document has been further transferred to another buyer, because he was the beneficial owner of the said property in which he had the right. It is not a case that any registration has been done in the favour of the assessee for the allotment of the plot. Even the assessee has transferred his right on the plot to another buyer for again there is no registration of the said transfer and consequently there is no value adopted or assessed by any authority of the State Government or Stamp Valuation Authority. The deeming fiction for taking the full value of consideration in respect of transfer of a capital asset u/s 50C is applicable where the value is assessed by stamp valuation authority, then such a value is deemed to be the full value of the consideration receipt or accruing as a result of such transfer. The word ‘assessable’ in section 50C at the time of transfer was inserted w.e.f. 1.10.2009 and therefore, in the assessment year 2007-08 the assessable value at the time of transfer cannot be taken as full value of the consideration. Either at the time of agreement or at the time of transfer there was no value assessed or assessable by the stamp valuation authority or therefore, the market value based on some ITI inquiry cannot be substituted with the actual consideration received by the assessee. Thus, the difference as worked out by the AO on the basis of un authenticated ITI report cannot be added; and accordingly, amount is directed to be deleted. - Decided in favour of assessee.
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