Tribunal allows new evidence, directs fresh hearing. Upholds capital gains computation.

The Tribunal allowed the first issue related to admission of additional evidence under r. 46A, setting aside CIT(A) order and directing redeciding with fresh evidence. The second issue regarding computation of long-term capital gains based on fair market value was upheld in line with precedent, dismissing appeals from both parties.

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Issues involved:
Cross-appeals filed against CIT(A) order for asst. yr. 1999-2000.

Issue 1: Admission of additional evidence under r. 46A
- Assessee appealed for admission of fresh evidence regarding compensation amount.
- CIT(A) declined admission citing lack of specification of relevant sub-clause of r. 46A.
- Assessee, an agriculturist, pleaded for admission due to lack of awareness of IT Act provisions.
- Tribunal held that CIT(A) should have admitted fresh evidence for substantial justice.
- Order set aside, issue restored to CIT(A) for redeciding with fresh evidence.

Issue 2: Computation of long-term capital gains based on fair market value
- AO computed gains at Rs. 114 per Maria, CIT(A) directed computation at Rs. 2,000 per Maria.
- Tribunal noted similar case precedent where cost was accepted at Rs. 2,000 per Maria.
- Upheld CIT(A) order, rejected appeals of both assessee and Revenue on this issue.

In summary, the Tribunal allowed the first issue related to admission of additional evidence under r. 46A, setting aside CIT(A) order and directing redeciding with fresh evidence. The second issue regarding computation of long-term capital gains based on fair market value was upheld in line with precedent, dismissing appeals from both parties.

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