TMI Blog2021 (1) TMI 1045X X X X Extracts X X X X X X X X Extracts X X X X ..... as well as the Commissioner of Income Tax (Appeals) has rightly treated the same to be a transaction of sale. However, the Tribunal, without taking into account the incriminating material on record, merely on the basis of the fact that the possession of the property under the agreement was not delivered, has held the same to be not sale. - Decided in favour of the assessee. - I.T.A. NO.249 OF 2015 - - - Dated:- 19-1-2021 - THE HON'BLE MR. JUSTICE ALOK ARADHE And THE HON'BLE MR. JUSTICE NATARAJ RANGASWAMY FOR THE APPELLANTS : BY MR. E.I. SANMATHI, ADVOCATE FOR THE RESPONDENT : BY MR. B.S. BALACHANDRAN, ADVOCATE JUDGMENT This appeal under Section 260-A of the Income Tax Act, 1961 (hereinafter referred to as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and has received total sale consideration of ₹ 7,90,68,395/- out of which, a sum of ₹ 5,01,37,720/- was paid by way of Cheque and ₹ 2,97,27,675/- was paid by way of cash to the assessee. It was further held that the aforesaid fact was confirmed by Prakash Shetty namely partner of M/s. Trishul Developers in the course of search. As the assessee did not offer the sale consideration to tax, therefore, the Assessing Authority made an addition of ₹ 7,57,65,395/-. 3. Thereupon, the assessee filed an appeal before the Commissioner of Income Tax (Appeals), who by an order dated 13.02.2013 dismissed the appeal preferred by the assessee. The assessee thereupon filed an appeal before the Income Tax Appellate Tribunal (herein ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... transferred entire rights in the property. It is also pointed out that in sum and substance, the assessee had delivered the possession and had received the entire sale consideration. It is also submitted that the Tribunal did not take into account the incriminating material which was found against the assessee during the course of search. It is submitted that the finding recorded by the Tribunal that the transaction in question does not amount to transfer within the meaning of Section 2(47) of the Act, is perverse. In support of aforesaid submission, reliance has been placed on the decision in 'M/s. SESHASAYEE STEELS P. LTD. Vs. ASSISTANT COMMISSIONER OF INCOME-TAX, COMPANY CIRCLE-VI(2), CHENNAI' 421 ITR 0046 SC. 5. On the other ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on 2(47) reads as under: Section 2(47) 'transfer', in relation to a capital asset, includes: xxxxx (ii) the extinguishment of any rights therein; or xxxx (v) any transaction involving the allowing of the possession of any immovable property to be taken or retained in part performance of a contract of the nature referred to in section 53A of the Transfer of Property Act, 1882 (4 of 1882); or xxxx. Thus, from perusal of Section 2(47) of the Act, it is evident that for the purposes of the Act, the definition of transfer is wide enough and it includes the sale, exchange or relinquishment of the asset or extinguishment of any rights therein. In the instant case, admittedly the assessee had entered into an agr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cation and to admit execution thereof and to sign such forms, applications, statements, ratification and rectification etc., with regards thereto; (o) to execute any release deeds, exchanges, gift deeds or such transfer documents as my attorney may deem fit with regards to the Schedule property including presentation of such deeds and admit execution of such deeds and to sign all such affidavits, applications., forms etc., required for the registration thereof and to complete all formalities of such documents. (p) to receive my Attorney's name or his nominee's name the consideration for sale/transfer/conveyance, as also advances, earnest money/deposits, part payments and balance payments in regard to the sale/conveyance/t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... any interest or charges thereof; (v) to grant and terminate leases, tenancies, licenses, with regard to the Schedule property with or without constructed area with or without car parking space or any part thereof on such terms as my Attorney may deem fit, and do everything necessary for completing the leases/tenancies/licenses of the same including execution of deeds and documents pertaining to leases/tenancies/licenses and admitting execution thereof as well as to sign and execute all forms, affidavits applications/statements/declarations /forms/returns; (w) to execute, sign such agreements, deeds necessary for the purpose of letting out, licensing or leasing the Schedule property or any part thereof with or without the construc ..... X X X X Extracts X X X X X X X X Extracts X X X X
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