9911796707
TMI Blog2019 (2) TMI 277X X X X Extracts X X X X X X X X Extracts X X X X ..... ut appreciating the material facts of the case." CO No. 10/JP/2018 (Assessee's Grounds of appeal): "1. The Ld. CIT(A) has erred on facts and in law in confirming the addition of Rs. 8,41,000/- by treating the source for purchase of land to this extent as unexplained. 2. The Ld. CIT(A) has correctly held that the agricultural land purchased by assessee during the year is not a capital asset as per section 56(2)(viib) both on account of the fact that it is a rural agricultural land and otherwise it is stock-in-trade of the assessee and therefore, rightly deleting the addition made by AO under this section." 2. Briefly the facts of the case are that the assessee has purchased three plots of land during the year under consideration and has claimed that these plots of land are agricultural land and doesn't fall in the definition of capital asset as per the provisions of Section 2(14) of the Act. The AO, however invoked the provisions of Section 56(2)(viib) of the Act and made an addition of Rs. 1,74,06,224/- which includes an amount of Rs. 1,51,06,224/- being difference between the sale consideration as per the sale deeds and the stamp valuation determined by the Stamp Valuati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the purposes of this sub-clause: Provided further that the said proviso shall apply only in a case where the amount of consideration referred to therein, or a part thereof, has been paid by any mode other than cash on or before the date of the agreement for the transfer of such immovable property; (c) any property, other than immovable property,- (i) without consideration, the aggregate fair market value of which exceeds fifty thousand rupees, the whole of the aggregate fair market value of such property; (ii) for a consideration which is less than the aggregate fair market value of the property by an amount exceeding fifty thousand rupees, the aggregate fair market value of such property as exceeds such consideration : Provided that where the stamp duty value of immovable property as referred to in sub-clause (b) is disputed by the assessee on grounds mentioned in sub-section (2) of section 50C, the Assessing Officer may refer the valuation of such property to a Valuation Officer, and the provisions of section 50C and sub- section (15) of section 155 shall, as far as may be, apply in relation to the stamp duty value of such property for the purpose of sub-clause (b) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bove provisions thus provides that where an individual receives in any previous year, from any person or persons on or after the 1st day of October, 2009 but before the 1st day of April, 2017, any immoveable property for a consideration which is less than the stamp duty value of the property by an amount exceeding fifty thousand rupees, the stamp duty value of such property as exceeds such consideration shall be income chargeable to tax under the head "Income from other sources". 6. In the instant case, the assessee has purchased three plots of land during the year under consideration. The sale consideration as per the respective sale deeds amounts to Rs. 23,00,000 and the stamp duty value of such properties as determined by the Stamp duty authority amounts to Rs. 1,74,06,224/- and therefore, there is difference to the tune of Rs. 1,51,06,224/- between the sale consideration as per the sale deeds and the stamp valuation determined by the Stamp Valuation Authority. To this extent, the facts are not disputed and have been accepted by both the parties. The limited point of dispute is the nature of immoveable property which has been purchased by the assessee. The assessee's contention ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e same village as mentioned above from Sh. Jakamdin for a consideration of Rs. 8 lakhs but stamp valuation authority has valued the land at Rs. 57,71,000/- for stamp duty purpose. Stamp duty and transfer charges paid by the appellant was Rs. 3,69,300/-. iii. Purchased a land on 06/02/2014 in the same village as mentioned above from Sh. Imrat for a consideration of Rs. 7 lakhs but stamp valuation authority has valued the land at Rs. 44,21,224/- for stamp duty purpose. Stamp duty and transfer charges paid by the appellant was Rs. 1,17,230/-. In the assessment order the A.O. had accepted the source of expenses incurred on account of stamp duty and other transfer charges amounting to Rs. 9,38,600/-. However, the purchase consideration amounting to Rs. 23 Lakhs have been added as unexplained investment u/s 68 of the Act. During appellate proceedings, the appellant has filed additional evidences in support of its claim under rule 46A of the IT Rules, 1962. For the reasons mentioned therein the same has been taken on record and the additional evidences were sent to A.O for his examination and comments. The A.O has submitted the remand report vide letter dated: 09/10/2017. The copy o ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
