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TMI Blog2015 (4) TMI 471X X X X Extracts X X X X X X X X Extracts X X X X ..... se are that the assessee sold certain properties during the year in question. One of the properties sold was B- 1/455, Janak Puri, New Delhi, in which the assessee had half share. Long-term capital gain of Rs. 9,90,294/- was declared from the transfer of this property. Such property was sold for a sum of Rs. 25 lac and the full value of consideration in relation to the assessee's half share was taken at Rs. 12.50 lac. The AO was not satisfied with the amount of sale consideration at this level. He deputed an Income-tax Inspector to make a fair estimate of the market value of the property, who gave the approximate value at Rs. 1.25 crore. Thereafter, the matter was referred by the AO to the DVO, who determined the fair market value of the pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cruing as a result of the transfer of the capital asset' with the 'fair market value' determined by the DVO. The answer to this question has to be given in the negative alone. The obvious reason is that when the legislature has provided to consider the full value of the consideration received or accruing as a result of the transfer of the capital asset, there can be no question of the AO substituting it with the fair market value as determined by the DVO. Of course, the AO is entitled to carry out investigation and conclusively prove with some clinching evidence that the 'full value of the consideration received or accruing as a result of the transfer of a capital asset' was, in fact, any amount higher than the one depicted in the sale deed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ideration in transactions of sale of property and the resultant loss of taxes, the legislature stepped in by inserting a deeming provision in terms of section 50C w.e.f. 1.4.2003 containing a special provision for 'full value of consideration in certain cases.' Sub-section (1) of section 50C provides that : `Where the consideration received or accruing as a result of the transfer by an assessee of a capital asset, being land or building or both, is less than the value adopted or assessed or assessable by any authority of a State Government (hereafter in this section referred to as the "stamp valuation authority") for the purpose of payment of stamp duty in respect of such transfer, the value so adopted or assessed or assessable shall, for t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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