Appeal dismissed, transfer date crucial for capital gains computation.

The court dismissed the appeal, upholding the decision of the lower authorities regarding the computation of long term capital gains for the appropriate assessment year based on the transfer date of the property. The court determined that the transfer was complete in the financial year 2004-05, and thus, the computation of long term capital gains should be for the assessment year 2005-06.

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Issues:
1. Application of Section 50C of the Income Tax Act for stamp duty valuation.
2. Computation of long term capital gains for the assessment year 2008-09.
3. Interpretation of the term "transfer" under Section 2(47)(6) of the Act.
4. Applicability of Explanation 2 added by Finance Act, 2012 with retrospective effect.
5. Determination of the assessment year for computing long term capital gains.

Analysis:
1. The case involved a dispute regarding the valuation of a property for stamp duty purposes under Section 50C of the Income Tax Act. The Sub-Registrar valued the property at a significantly higher amount than the sale consideration, leading to a show cause notice from the income tax department.

2. The assessment year in question was 2008-09, but the property was actually transferred in the financial year 2004-05. The Commissioner of Income Tax (Appeals) held that no long term capital gains could be computed in 2008-09 since the property transfer occurred earlier.

3. The court analyzed the term "transfer" under Section 2(47)(6) of the Act and referred to Explanation 2 added by the Finance Act, 2012 with retrospective effect. The explanation clarified that "transfer" includes disposing of an asset in any manner, directly or indirectly, and deemed to have always included such actions.

4. Considering the facts that the registered sale agreement was executed in 2005 and possession was handed over to the buyer, the court concluded that the transfer was complete in the financial year 2004-05. Therefore, the computation of long term capital gains should be for the assessment year 2005-06.

5. Ultimately, the court found no substantial question of law arising from the case and dismissed the appeal summarily, upholding the decision of the lower authorities regarding the computation of long term capital gains for the appropriate assessment year based on the transfer date of the property.

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