Fair market value under section 50C must reflect existing property condition, not hypothetical development, and statutory valuation steps must be foll...
With effect from conversion, the LLP was a separate legal entity, so municipal and property taxes attributable to the pre-conversion period belonged to the erstwhile private limited company and could not be claimed by the LLP as its own expenditure or loss. The Tribunal therefore sustained the disallowance of the pre-conversion taxes, noting that the assessee's relied-upon provisions did not apply on the facts found and that the earlier company had not filed a return. However, it accepted the alternative claim that income assessed under the head house property must carry the statutory standard deduction and directed the Assessing Officer to allow it.
With effect from conversion, the LLP was a separate legal entity, so municipal and property taxes attributable to the pre-conversion period belonged to the erstwhile private limited company and could not be claimed by the LLP as its own expenditure or loss. The Tribunal therefore sustained the disallowance of the pre-conversion taxes, noting that the assessee's relied-upon provisions did not apply on the facts found and that the earlier company had not filed a return. However, it accepted the alternative claim that income assessed under the head house property must carry the statutory standard deduction and directed the Assessing Officer to allow it.
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