https://www.taxtmi.com/caselaws?id=767542 ITAT Ahmedabad held that the assessee's sale of immovable property through True Value as agent was a sham transaction designed to divert sale consideration and reduce tax liability. The tribunal found True Value lacked authority to act as agent, having no power of attorney or fiduciary relationship with the assessee. The actual sale consideration of Rs. 5,04,80,000 was correctly determined by AO, not the reduced amount claimed by assessee. The short-term capital gain was properly reduced from WDV of block assets, upholding disallowance of excess depreciation of Rs. 25,48,000. However, separate addition of Rs. 2.54 crores for expense disallowance was deleted as Revenue failed to prove it was separately debited in P&L account. Revenue's appeal was partly allowed. en-us Thu, 13 Mar 2025 00:00:00 +0530 Thu, 20 Mar 2025 08:21:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=767542 ITAT Ahmedabad held that the assessee's sale of immovable property through True Value as agent was a sham transaction designed to divert sale consideration and reduce tax liability. The tribunal found True Value lacked authority to act as agent, having no power of attorney or fiduciary relationship with the assessee. The actual sale consideration of Rs. 5,04,80,000 was correctly determined by AO, not the reduced amount claimed by assessee. The short-term capital gain was properly reduced from WDV of block assets, upholding disallowance of excess depreciation of Rs. 25,48,000. However, separate addition of Rs. 2.54 crores for expense disallowance was deleted as Revenue failed to prove it was separately debited in P&L account. Revenue's appeal was partly allowed. Case-Laws Income Tax Thu, 13 Mar 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=767542