Section 56(2)(vii)(b) proviso applies where allotment letter fixes consideration and advance payment precedes registration.

For section 56(2)(vii)(b), an allotment letter fixing the purchase consideration can be treated as the agreement date where advance consideration was paid through banking channels before registration. On those facts, the proviso applies when the agreement date and registration date differ and part of the consideration is paid otherwise than in cash on or before the agreement date. The stamp duty value on the later registration date could not be used to make the addition, and the analysis concludes that the Revenue's challenge failed.

---

---

Issues: Whether, for the purpose of section 56(2)(vii)(b), the date of allotment letter fixing the consideration could be treated as the date of agreement so that the stamp duty value on that date applies, where part of the consideration was paid by cheque before registration.

Analysis: The allotment letter dated 21.09.2010 fixed the purchase consideration and the assessee had paid advance consideration through banking channels before the eventual registration. The statutory proviso applies where the date of agreement and the date of registration differ and part of the consideration has been paid otherwise than in cash on or before the date of agreement. On these facts, the allotment letter was treated as the agreement fixing consideration, and the stamp duty value on the date of registration could not be applied for making the addition.

Conclusion: The proviso to section 56(2)(vii)(b) applied, the addition was not sustainable, and the Revenue's challenge failed.

---