TMI Blog2015 (10) TMI 1598X X X X Extracts X X X X X X X X Extracts X X X X ..... the land owners or to the consolidator. The AO is not justified in reducing the cost of acquisition and hence making an addition to the profit on sale of land. Nothing has been brought on record that the purchase and sale are not genuine. In view of these facts, the assessee is entitled to a relief of ₹ 19,32,269/-. The AO has adopted a cost of ₹ 1,69,21,360/-. The reason given by the AO for such deduction is vague and devoid of merit. - Decided against revenue. - ITA No. 3483/Del/2012, ITA No. 412/Del/2011, ITA No. 816/Del/2011 - - - Dated:- 1-6-2015 - H. S. Sidhu, JM And J. Sudhakar Reddy, AM,JJ. For the Appellant : Shri Pradeep Dinodia, CA Shri RK Kapoor, CA For the Respondent Rep by: Shri J P Chandrakar, Sr. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessment order is filed before us. Under these circumstances, we have no other alternative but to uphold the order of the First Appellate Authority on this issue. 8. The Ld.DR submitted that the assessee has not furnished particulars of the purchases made, the mode of payment etc. The Ld.Counsel for the assessee submitted that entire purchases were made in the earlier year and the mode of payment was by way of crossed cheque. He also drew attention of the Bench to page 5 of the assessment order to demonstrate that the total cost of purchases of the land + the amount incurred for stamp duty recorded in page 5 of the assessment order, is the opening stock for the impugned AY. As the issue before us is the disallowance u/s 40A(3) of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... finding of the First Appellate Authority and dismiss this ground of Revenue. 10. In the result ITA 816/Del/11 is dismissed. 11. Now we take up assessee's appeal. 12. After hearing rival contentions, we are of the considered opinion that notional interest cannot be charged as there is no such provision in the Act. At best the AO would have disallowed interest claimed by the assessee. The Ld.Counsel for the assessee pointed out that no expenditure on account of interest has been claimed during the year. Under the circumstances the additional of notional interest is hereby deleted. While doing so we draw strength from the decision of Hon'ble Gauhathi High Court in the case of High Way Construction Co.Pvt.Ltd. vs. CIT (1993) re ..... X X X X Extracts X X X X X X X X Extracts X X X X
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