Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (1) TMI 721 - AT - Income TaxEnhancement of annual letting value (ALV) of the house property - assessee is a co–owner of a residential flat, a part of which is given out on rent - HELD THAT:- In assessee's case it is a residential house and a part of which is rented out. On a perusal of the material on record, we find that neither the AO nor Commissioner (Appeals) has made any enquiry with the Municipal Authorities or any other Government agencies to find out the market rent of assessee's property. Without making any such enquiry, the valuation of Municipal Authorities furnished by the assessee could not have been rejected, that too, without considering assessee's claim that the comparable cases referred to by the Assessing Officer are not at all comparable since they are commercial properties. Determination of ALV @ ₹ 1,00,000, per month by learned Commissioner (Appeals) is without any basis and is on a pure estimation. Therefore, when the assessee had furnished a valuation from the Municipal Authorities determining the ALV at ₹ 79,380, the same could not have been rejected without valid and cogent reasoning. In view of the aforesaid, we are inclined to accept assessee's claim that ALV of the property has to be determined at ₹ 79,380, as per the valuation of Municipal Authorities and thereafter assessee's share shall be determined for addition under the head income from house property. Accordingly, we set aside the impugned order of the learned Commissioner (Appeals) and direct the AO to determine the income from house property keeping in view our observations herein above.
|