Tribunal adjusts property valuation, allows appeal with delay, directs reassessment based on evidence

The Tribunal partly allowed the appeal, condoning the delay in filing and admitting it for adjudication. Regarding the valuation of the property at Sholinganallur, the Tribunal directed the Assessing Officer to adopt the market value of Rs. 21.06 crores. For the landholding at Bharaniputtur, the Tribunal set aside the issue for reevaluation by the Assessing Officer based on presented evidence. The order was pronounced on 17th September 2021.

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Issues:
1. Condonation of delay in filing appeal
2. Valuation of property at Sholinganallur
3. Extent of landholding at Bharaniputtur

Condonation of Delay:
The appeal was filed by the assessee against the order passed by the CIT-(A)-16, Chennai. The assessee requested condonation of a 28-day delay in filing the appeal, citing non-residency and unavailability in India during the relevant period. The delay was deemed unintentional, and the Tribunal, after considering the reasons provided, condoned the delay, admitting the appeal for adjudication.

Valuation of Property at Sholinganallur:
The dispute revolved around the valuation of the property at Sholinganallur. The Assessing Officer valued the property at Rs. 23.67 crores, while the assessee contended it should be valued at Rs. 10.99 crores. The Tribunal noted that the property was sold for Rs. 21.06 crores shortly after the valuation date. Despite the assessee's argument regarding guideline value, the Tribunal held that the market value at the time of sale should be considered. Consequently, the Tribunal directed the Assessing Officer to adopt the market value of Rs. 21.06 crores as the valuation of the property.

Extent of Landholding at Bharaniputtur:
Another issue was the extent of landholding at Bharaniputtur. The Assessing Officer determined the landholding to be 0.8 acres, while the assessee claimed ownership of only 0.4 acres. The Tribunal observed a similar issue in previous years and decided to set this matter aside for the Assessing Officer to verify the actual extent of land held by the assessee. The Tribunal directed a reevaluation based on the evidence presented by the assessee.

In conclusion, the Tribunal partly allowed the appeal for statistical purposes, directing the Assessing Officer to reevaluate the valuation of the property at Sholinganallur based on the market value at the time of sale. Additionally, the Tribunal instructed a reassessment of the extent of landholding at Bharaniputtur. The order was pronounced on 17th September 2021.

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