9911796707
TMI Blog2021 (10) TMI 865X X X X Extracts X X X X X X X X Extracts X X X X ..... grounds of appeal: "1. The Ld.C.I.T. (A)-3, Surat has erred in sustaining the addition made by the Ld. A.O. U/S 56(2)(vii)(b) of the I.T. Act, without appreciating that Your Honour's Petitioner has purchased the residential house at Jantri Price, assigning reason that "it is not established from the documents that the recorded consideration is the market value of actual plot as per SV". (2) Your Honour's Petitioner craves leave to add to or amend the grounds of appeal at the time of hearing the appeal." 2. Initially this appeal was filed by the assessee on 11.04.2018. During the pendency of appeal, the assessee died on 26.09.2018. The legal representative (LR's) of the assessee furnished fresh Form-36 substituting them as LR's of asse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cieties plots are to be given and considered as per actual market value of such land has reduced by the weightage of such restrictions from the jantri price. (ii) Secondly, the land purchased by the assessee is not in Bardoli village but located on outskirts of the village. Since the assessee is deprived off the essential facilities as the land purchased is far away from these important locations that has bearing on the actual market rate to be paid by the buyer which obviously very with the Jantri rate. (iii) Thirdly, the Jantri rates are decided with an understanding that al lands have access to the main approach road developed by the urban authority which is not always correct and (iv) Fourthly, settlement of purchase cost in cash ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ording the submission of assessee, took his view that provision of section 56(2)(vii)(b) of the Act are deeming provision and has to be strictly interpreted. Though, it was accepted by Ld.CIT(A), that there is some merit in the argument, however, the ld.CIT(A) not agreed with the contention of the assessee as no separate brake up of market value of actual plot, road, common area is given in the sale deed and /or it is not established from the document that the recorded consideration is the market value of actual plot as per Stamp Valuation Authority (SVA), and, concurred with the finding of the AO. Further aggrieved, the assessee has filed present appeal before this Tribunal. 6. We have heard the submission of the ld. Authorised Representa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation of asset, it has no bearing or impact on the market value of property assessed by the Stamp Valuation Authority. These facts were clearly explained before the AO. The AO ignored all the facts. The Ld. AR for the assessee submits that the ld.CIT(A) despite accepting the submissions of assessee, confirmed the action of the AO by taking view that the provision of section 56(2)(b)(vii) is to be complied strictly. 7. On the other hand, the ld.Sr.DR for the revenue relied upon the order of the ld.CIT(A). The Ld.Sr.DR for the Revenue submits that all the submissions raised by the Ld.AR for assessee has been considered by the Ld.CIT(A). 8. We have considered the rival submission of both the parties and have gone through the orders of author ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee by taking view that no separate brake up of market value of actual plot, road, common area given in the sale deed is not established and that the recorded consideration is the market value of actual plot as per Stamp Valuation Authority (SVA), thus, concurred with the finding of the AO. We find that the AO made addition without verifying the facts either from the seller about the receipt of excess sale consideration. We further find that the assessee specifically stated before the lower authorities that he has paid 1% additional stamp duty on in accordance with the regulation of State Government and the additional stamp duty is levied to recover a loss of revenue which the State Government has to suffer on portion of land used ..... X X X X Extracts X X X X X X X X Extracts X X X X
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