Fair market value under section 50C must reflect existing property condition, not hypothetical development, and statutory valuation steps must be foll...
In the case before Punjab and Haryana High Court, undisclosed investment made to acquire rights in family property was deemed as undisclosed income for the block period. The revenue authorities found a receipt during search indicating the sister-in-law confirmed receiving the amount with no further payment due. The Income Tax Appellate Authority rejected the sister-in-law's certificate as biased towards the appellant. The court upheld the ITAT's decision that the property was handed over after full payment, supported by a demand draft receipt. The appellant's subsequent payments to the sister-in-law were not considered relevant as they were made after the search and without clear indication of settling the remaining amount. The appeal was dismissed, affirming the ITAT's order.
In the case before Punjab and Haryana High Court, undisclosed investment made to acquire rights in family property was deemed as undisclosed income for the block period. The revenue authorities found a receipt during search indicating the sister-in-law confirmed receiving the amount with no further payment due. The Income Tax Appellate Authority rejected the sister-in-law's certificate as biased towards the appellant. The court upheld the ITAT's decision that the property was handed over after full payment, supported by a demand draft receipt. The appellant's subsequent payments to the sister-in-law were not considered relevant as they were made after the search and without clear indication of settling the remaining amount. The appeal was dismissed, affirming the ITAT's order.
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