2013 (4) TMI 988 - AT - Income Tax

Appellate Tribunal Upholds CIT(A) Decision on Assessment Rectification

DCIT 24 (2), Mumbai Versus Ms. Vida D’Lima

The Appellate Tribunal upheld the decision of the learned CIT(A) regarding the rectification of assessment based on a valuation report received after ... - Issues Involved: The appeal filed by the revenue against the order passed by learned CIT(A)-34, Mumbai dated 24.6.2011 for A.Y. 2008-09 regarding the rectification of assessment based on a valuation report received after completion of assessment.Issue 1: Rectification of Assessment based on Valuation ReportThe Appellate Tribunal noted that a similar issue had been decided in a previous case involving a co-owner of the property. In that case, the Assessing Officer had made a reference to the District Valuation Officer (DVO) for valuation of the property after completing the assessment. The Tribunal observed that the Assessing Officer cannot consider a report from the DVO after passing the assessment order. The Tribunal referred to previous decisions and held that the disclosed value as on 1.4.1981 based on the Registered Valuer's Report should be accepted for computing long term capital gain. The Tribunal confirmed the findings of the learned CIT(A) and dismissed the appeal filed by the revenue.Conclusion: The Appellate Tribunal upheld the decision of the learned CIT(A) regarding the rectification of assessment based on a valuation report received after completion of assessment. The Tribunal emphasized that the Assessing Officer cannot rely on a report from the DVO after passing the assessment order and directed the computation of long term capital gain based on the Registered Valuer's Report.