TMI Blog2011 (4) TMI 940X X X X Extracts X X X X X X X X Extracts X X X X ..... have to be read with section 50C(2) and the value as arrived at as per the provisions of section 50C(2) would have to be adopted in the case of Kum. Ranjini Venugopal. In the case of Ms. Kumudini Venugopal, it is noticed that the sale agreement in respect of the property has not been registered. Consequently, the provisions of section 50C would not apply. Under these circumstances, we are of the view that the findings as arrived at by the CIT(Appeals) is on a right footing and both the appeals of the Revenue are dismissed. - ITA NOS. 1172 AND 1173 (MAD.) OF 2009 - - - Dated:- 15-4-2010 - SHRI PRADEEP PARIKH, AND SHRI GEORGE MATHAN, JJ. Represented by: Shri Tapas Kumar Dutta for the Appellant. Shri V. Jagadisan for the Respon ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hority had been applied as the same was found to be higher than the sale consideration disclosed by the assessees. It was the submission that the learned Commissioner of Income-tax (Appeals) had deleted the addition made by the Assessing Officer and directed the Assessing Officer to adopt the sale consideration as per the valuation report of the DVO in the case of Kum. Rajini Venugopal. In the case of Ms. Kumudhini Venugopal, the Assessing Officer was directed to accept the sale consideration as admitted by the assessee in her return of income. 4. It was the submission that the provisions of section 50C were mandatory and as the sale consideration disclosed by the assessee was lower than the valuation as per the stamp valuation authority, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submitted that the reference to the DVO under section 50C(2) was not discretionary, but mandatory for which proposition he relied upon the decision of the Jodhpur Bench of the Income-tax Appellate Tribunal in the case of Meghraj Baid v. ITO [2008] 114 TTJ 841 23 SOT 25 (URO). It was the submission that the order of the learned Commissioner of Income-tax (Appeals) was right and the same was liable to be upheld. 6. We have considered the rival submissions. Reading of the provisions of section 50C shows that as per the provision of sub-section (1) of section 50C where the consideration received or accruing as a result of transfer by the assessee of a capital asset being land or building or both, is less than the value adopted or assessed or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as the full value of the receipt or accruing as a result of the transfer. Thus, as per section 50C(1), the valuation as fixed by the stamp valuation authority is taken as a bench mark, as per sub-section (2) of section 50C the bench mark can be reviewed by the reference to the valuation officer if the assessee claims that such value exceeds the fair market value. As per sub-section (3), if the valuation as arrived at by the DVO as a consequence of the reference made to him by the Assessing Officer on account of the assessee's claim and such valuation is found to be higher than the value as fixed by the stamp valuation authority then the value as fixed by the stamp valuation authority being the lower of the two is to be applied. With these ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d as per the requirements of the Act, the Assessing Officer had rightly referred the valuation of the property to the DVO and the DVO had valued the property at a figure much lower than the value as fixed by the stamp valuation authority which also shows that the provisions of section 50C(3) have no application to the present case. Obviously, the valuation as done by the DVO is not a subject-matter of the appeal before us. The fact that the DVO has valued the property much lower than the value fixed by the stamp valuation authority, shows that the claim of the assessee is true and correct and the provisions of section 50C(1) would have to be read with section 50C(2) and the value as arrived at as per the provisions of section 50C(2) of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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