TMI Blog1981 (12) TMI 3X X X X Extracts X X X X X X X X Extracts X X X X ..... ollowing terms : "Whether, on the facts and in the circumstances of the case, the Tribunal erred in treating the municipal valuation as the annual letting value of the properties, 3, Sikandra Road and 9, Mansingh Road, New Delhi ?" The assessee is Shri Dalmia who has since died and we are informed that his legal representatives have been impleaded We have also been referred to the judgment o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lso to be based on the self-same standard rent. This means that the Supreme Court by two separate judgments has made the basis of the valuation the same to the income-tax law and to the Municipal Act. The result is that we have no difficulty in answering the question referred to us which is whether the value adopted for municipal valuation has also to be adopted for the purposes of income-tax. On ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are separately provided for in each of the two Acts. As it happens, in the case of the present assessee, the municipal value was accepted as the annual letting value for many years and it was only in the assessment year under consideration that the Income-tax Officer was of the view that there was gross under valuation in respect of the annual municipal valuation for the two houses under consid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reason. We have not laid down any general principle that the income-tax authorities must adopt the Municipal value as being correct. Normally, the value should be accepted, but if there is an under valuation, it is certainly open to the Income-tax Officer to fix the value on his own on the basis of the expected reasonable rent. On the facts, the Income-tax Officer in this case did not find out th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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