TMI Blog2020 (6) TMI 289X X X X Extracts X X X X X X X X Extracts X X X X ..... cific direction to AO while passing the order therefore it is a mistake apparent from record and should be rectified. Valuation report of the DVO is not the last word on valuation, it can be challenged by the assessee and for that we also rely on the judgment of Lovy Ranka Vs. DCIT [ 2019 (5) TMI 404 - ITAT AHMEDABAD] - we direct the Assessing Officer to examine the DVO valuation report afresh and the assessee is at liberty to challenge the DVO report if it seems to him inconsistent on law as well as on facts. Order being pronounced after ninety (90) days of hearing - COVID-19 pandemic and lockdown - HELD THAT:- Taking note of the extraordinary situation in the light of the COVID-19 pandemic and lockdown, the period of lockdown day ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on perusal of provisions of section 50C of the Act it is clear that when the assessee claims before the A.O. that the value adopted or assessed by the Stamp Valuation Authorities under sub-section (1) of Section 50C of the IT Act exceeds fair value of the property as on the date of transfer, the A.O. may refer to the valuation of the said asset to the Departmental Valuation Officer. In this case when the matter has been referred to the DVO then the A.O. ought to have adopted the fair market value determined by the DVO s valuation or registered valuation authorities whichever is less. In this case it is apparent from the Assessment order that the A.O. has referred the matter to the DVO but without waiting for the same he has completed t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... owever, according to the ld. Counsel, the challenge to the DVO s valuation was not entertained by Assessing Officer while giving appeal effect of this Tribunal`s order. Since in the order of the Tribunal dated 11.03.2011, there has been no mentioned about any liberty to the assessee to challenge the valuation as made by the DVO therefore assessing officer did not entertain objection of the assesseee about valuation made by the DVO. The ld Counsel, therefore prayed the Bench that a liberty to the assessee to challenge the valuation of DVO should be given to the assessee and hence the assessing officer may be directed to entertain objection of the assesseee about valuation made by the DVO. 4. Per contra, ld. D.R. vehemently opposed the ple ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to do so, because this Tribunal has not given specific direction to AO while passing the order therefore it is a mistake apparent from record and should be rectified. 6. We note that valuation report of the DVO is not the last word on valuation, it can be challenged by the assessee and for that we also rely on the judgment of the Coordinate Bench of ITAT Ahmedabad in the case of LovyRanka Vs. DCIT 55 CCH 0582 (Ahd-Trib) wherein it was held as follows: 9. The assessee before us is an individual. During the course of scrutiny assessment proceedings, the Assessing Officer noticed that the assessee has sold a bungalow for ₹ 1,15,00,000 but the stamp duty valuation of the said bungalow, as evident from the sale deed, was ͅ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in this order, the assessee is indeed correct, even though somewhat serendipitously. that the CIT(A) ought to have examined the matter on merits. Of course, before doing so, the CIT(A) was under a statutory obligation to serve notice of hearing to the DVO and thus afford him an opportunity of hearing. Clearly, learned CIT(A) took too narrow and somewhat superficial a view of his powers under the scheme of the law, and the assessee did not point out the specific legal provisions to him either. Be that as it may, the fact remains that correctness of the DVO's report is to be examined on merits and there is no adjudication, on that aspect, by the CIT(A). In view of these discussions, as also bearing in mind entirety of the case, we d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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