Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

Bonagiri Narasimha Murthy and Others Versus ITO Ward-3, Rajahmundry

Nature of land - whether land sold by the assessee is within 8 kms. from Rajahmundry municipal limits or beyond 8 kms? - Held that:- There is a confusion that the Inspector proceeded by four wheeler along side of the approach road of the lay out to some extent. It is not clear that from that extent to land sold by the assessee, what is the distance? That the inspector travelled only to some extent and stopped their vehicle and the meter is showing 7.7 kms. Therefore, it cannot be said that the d .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

kms. of Rajahmundry municipal limits. The Hon’ble Punjab & Haryana High Court in the case of CIT Vs. Lalsingh and others (2009 (11) TMI 63 - PUNJAB AND HARYANA HIGH COURT ) has considered the issue of who is competent to measure the distance and observed that “Tahsildar working under the State Government is more competent than the Inspector of the department”. It is further observed that ”without the help of revenue officials, it is difficult for a person to identify the land and then to measure .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

280/Vizag/2012, I.T.A.No.281/Vizag/2012, I.T.A.No.283/Vizag/2012, I.T.A.No.284/Vizag/2012 - Dated:- 2-3-2016 - SHRI V. DURGA RAO, JUDICIAL MEMBER AND SHRI G. MANJUNATHA, ACCOUNTANT MEMBER For The Appellant : Shri G.V.N. Hari, AR For The Respondent : Shri M.K. Sethy, DR ORDER PER V. DURGA RAO, Judicial Member: These appeals filed by different assessees are directed against the order of CIT(A), Visakhapatnam dated 25.1.2012 pertaining to the assessment year 2007-08. Since, the facts are identical .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

s 133A of the Income Tax Act, 1961 (hereinafter called as 'the Act'), during which the fact of sale of land by the above assessees came to the notice of the department. As the assessee has derived Capital Gain from the sale of above property and did not file his return of income for the year under consideration, a notice u/s 142(1) of the Act was issued to the assessee on 19.9.2008 calling for return of income for the assessment year 2007-08. Since the assessee did not comply with the no .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

g the entire sale proceeds on sale of 7.65 acres of land at Palacherla village of ₹ 97,92,000/- besides an agricultural income of ₹ 60,000/-. In his return of income, assessee has claimed the entire sale consideration received by him is exempt from the income tax for the reason that the lands that were sold by him are situated beyond 8 kms. from the municipal limits of Rajahmundry. 3. The A.O. has processed the return filed by the assessee u/s 143(1) of the Act. Thereafter, a notice .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ed as asset within the meaning of the provisions of section 2(14) of the Act. In response to that, assessee has filed a certificate from Asst. Engineer, Roads & Buildings (R&B), South Section, Rajahmundry, wherein, it is certified that The distance from Rajahmundry Municipal Corporation limits i.e. from 194/8 of Lalacheruvu Junction to Diwancheruvu- Narendrapuram road KM03/400 is beyond 8 kilometers (eight kms only) and submitted that as per the certificate issued by the R&B, the lan .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

O. has also noted that as per the report given by the Inspector of his Office, wherein it was reported that the actual distance recorded from the municipal limits of Rajahmundry to the land sold by the assessee is less than 8 kms. Accordingly, the A.O. has come to a conclusion that the land sold by assessee constitute asset within the meaning of provisions of section 2(14) of the Act. The gain arising on sale of such lands is taxable u/s 45 of the Act. Accordingly, the assessee s claim of exempt .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

w of Rajahmundry Municipal Corporation. Therefore, section 2(14)(iii)(a) of the Act has no application. The Ld. CIT(A) by considering the GO issued by the Government of Andhra Pradesh i.e. GO Ms No.389 dated 29.8.2001 has held that clause (a) of section 2(14)(iii) of the Act is not applicable to the present case. The above finding of the CIT(A) is accepted by the department. 7. So far as clause (b) of section 2(14)(iii) of the Act is concerned, the CIT(A) has observed that to ascertain the dista .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

d. Certified that the distance between Lalacheruvu-Velugubanda near Tatalamma Temple is above 8.00 kms (eight kms only) . However, the said report does not contain the exact distance or the route which was taken to measure the distance and the A.O. has observed that more weightage should be given to the enquiry conducted by the department because it is a specific enquiry. The CIT(A) directed the department to conduct a further enquiry and the inspector of Income Tax again conducted a further enq .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ngly, the A.O s action is confirmed. 8. On being aggrieved, assessee carried the matter in appeal before the Tribunal. 9. The Ld. Counsel for the assessee submitted that the certificate issued by the R&B Department should be given more weightage than the enquiry conducted by the Inspector of the department. 10. The certificate issued by the R&B has not been considered by the A.O. as well as CIT(A) for the reason that in the certificate it was mentioned that the distance between Lalacheru .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

rein it is clearly mentioned that the distance from Rajahmundry Municipal Corporation limits to KM 4/4 of Divancheruvu-Narendrapuram Road (via) Velugubanda of Palacherla village where survey no.158, 159 & 160 of Palacherla village are located is 9.00 kms. (Nine kilometers only) and hence, the Ld. Counsel submitted that the certificate issued by the R&B has to be given more weightage rather than the enquiry conducted by the A.O. He further submitted that in the second enquiry conducted by .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

or, it is within 8 kms. of municipal limits and therefore it is a capital asset within the meaning of section 2(14) of the Act. Accordingly, gain arising from sale of the land is a taxable income. It is strongly supported by the orders of the authorities below. 12. We have heard both the parties, perused the materials available on record and gone through the orders of the authorities below. The only issue for consideration is whether the land sold by the assessee is within 8 kms. from Rajahmundr .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ing an explanation from the assessee that why the land sold by the assessee cannot be treated as a capital asset within the meaning of section 2(14) of the Act. In response to that, assessee has submitted that the land sold by assessee is beyond 8 kms from the Rajahmundry municipal corporation and therefore it is not an asset within the meaning of section 2(14) of the Act. Further, he relied on the certificate issued by the Asst. Engineer, R&B, Rajahmundry, wherein it was certified as per ex .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

and it is taxable according to section 45 of the Act. 15. On appeal, CIT(A) has considered that the land sold by the assessee is not within the municipal corporation limits as per the GO Ms No.389 dated 29.8.2001 issued by Government of Andhra Pradesh and has observed that Palacherla village was excluded from the Rajahmundry Municipal Corporation. However, he has observed that the certificate issued by the Asst. Engineer R&B is not clear as the exact distance or the route which was taken to .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

l limit i.e., from Lalacheruvu intersecting junction of highway and reached the agricultural lands. Upto the entry point of the lay out gate, the distance measured 6.2 kms, from where we proceeded further to reach the agricultural lands of the assessees. We travelled alongside the approach road of the lay out to some extent. Even then, the speedometer did not exceed 8 kms. The speedometer accurately and unerringly shown 7.7 kilometeres distance from the end of the municipal corporation limits of .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

as 6.2 kms., from they proceeded further to reach the agricultural lands of the assessee. They travelled along side of the approach road of the lay out to some extent. Even then, the speedometer did not exceed 8 kms. The speedometer accurately and unerringly shown 7.7 kms. distance from the end of the municipal corporation limits of Rajahmundry. From the above, there is a confusion that the Inspector proceeded by four wheeler along side of the approach road of the lay out to some extent. It is .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e assessee s lands. So based on the speedometer, they came to a conclusion that the distance would be 7.7 kms. without reaching assessee s land. Under these mitigating facts and circumstances of the case, it cannot be concluded that the land sold by the assessee is within 8 kms. of Rajahmundry municipal limits. The Hon ble Punjab & Haryana High Court in the case of CIT Vs. Lalsingh and others (2010) 325 ITR 588 (P&H) has considered the issue of who is competent to measure the distance an .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     Latest Happenings     ↓  

Forum: GST - TRAN1 - filed - Data uploaded with Remarks Processed with Error - Not coming in Electronic credit ledger - need suggession guidance

News: Notification Issued For GST Actionable Claim On Branded Food Products

Highlight: Classification printed computer stationary/manifold Business Forms - to be classified under Chapter Heading 4820.00 or under Chapter Heading 4901.90 - items like A4 sheets, advertisement and job card to be classified under Chapter 49

Forum: GST Invoice

Notification: Seeks to amend notification no. 5/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding restriction of refund on corduroy fabrics

Notification: Amendments in the notification No.5/2017- Integrated Tax (Rate) dated the 28th June, 2017.

Notification: Seeks to amend notification no. 2/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst exemptions

Notification: seeks to exempt Skimmed milk powder, or concentrated milk

Article: Websites of Government Departments need lot of improvement. We are noticing detoriations in them for example, case of website of ITAT.

Notification: Seeks to amend notification no. 2/2017- integrated tax(rate) dated 28.06.2017 to give effect to GST council decisions regarding GST exemptions.

Article: RCM – Applicability to persons not liable to get registered us 23(1)

Notification: Seeks to amend notification no. 1/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst rates

Notification: Seeks to amend notification no. 1/2017- integrated tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst rates.

Article: Credit of unsold stock [Section 140(3)] - Actual Credit as well as Notional Credit - Part-I - GST Transitional provisions

News: GST Refund - Blockage of Working Capital of Exporters - earlier also there was a normal blockage of funds for a period of 5-6 months at least

News: Clarification about Transition Credit - ₹ 1.27 lakh crore of credit of Central Excise and Service Tax was lying as closing balance as on 30th June, 2017 - claim of credit of ₹ 65,000 crore is not unexpected

Article: 20 Things You must know about E Way Bills in GST Law

Article: MISTAKES IN DRAFTING

Forum: Duty Drawback- Urgent

Highlight: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg. - Circular

Highlight: The definition of "subsidiary company" or "subsidiary" u/s 2(87) of the Companies Act, 2013 shall come into force w.e.f. 20-9-2017

Highlight: Central Government notified the All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017 - Notification

Notification: All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017

Circular: Investment by Foreign Portfolio Investors in Corporate Debt Securities – Review

Notification: Exemptions on supply of services under UTGST Act

Notification: Rates for supply of services under UTGST Act

Notification: Exemptions on supply of services under IGST Act

Notification: Rates for supply of services under IGST Act

Notification: List of Exempted supply of services under the CGST Act

Notification: Rates for supply of services under CGST Act

Highlight: Acceptance of deposits by companies from its members - conditions relaxed in case of Specified IFSC Public company and a private company - Rule 3 amended

Notification: Rate of exchange of conversion of the foreign currency with effect from 8th September, 2017

News: Tax Payers Advised To Confirm Identities Of Income Tax Search Authorities

Notification: Amendment in Appendix 3 (SCOMET items) to Schedule- 2 of ITC (HS) Classification of Export and Import Items 2012

Notification: The Customs and Central Excise Duties Drawback Rules, 2017

Circular: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg.

News: GST implementation smoother than expected: Jaitley

Forum: 3B mistake

Forum: Input tax credit

Forum: Excise duty credit on finished stock at additional place of business.

Forum: Due date of Filing TRAN-1

Highlight: Diversion of income at source - Joint venture agreement - 97% of the receipt transfer to M/s TRG Industries (P) Ltd. - scope of the agreement - it is diversion by overriding title - not taxable in the hands of assessee - HC

Highlight: Expenditure on eligible projects or schemes u/s 35AC - After 01.04.2017 the legislature desired to withdraw such deduction. - The Union legislature was competent to introduce such amendment - HC

Highlight: Transfer of trading assets at cost price, the profit component also stood transferred to the outgoing Directors, which otherwise belonged to the Company - the fact that AO has made the addition in the hands of the Directors would not make any difference - additions confirmed - HC

Highlight: The interest u/s 234B of the Act cannot go beyond the stage of S.245D(I) before the Settlement Commission - HC

Highlight: Galvanized iron pipe is a different commercial commodity than a iron pipe, therefore the activity of galvanization in our considered opinion amounts to manufacture - Deduction u/s 80-IB allowed - HC

Highlight: Penalty u/s 271C - non deduction of TDS on interest paid to sister concerns in terms of Section 194A - Levy of penalty confirmed - HC

Highlight: Disallowance of interest - reference to section 179 - The legislature has also recognised, that the doctrine of lifting of veil in the matter of tax dues is to be applied to prevent fraud etc. and not where the company has suffered despite its normal bona fide function. - HC

News: RBI Reference Rate for US $

Notification: Amendment in Notification No. S.O. 3118(E), dated the 3rd October, 2016



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version