TaxTMI 
TaxTMI 
2014 (6) TMI 13
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....n raised by the assessee: "(a) Whether the Tribunal misdirected itself in law in proceeding on the basis that reliance by the appellant on the deeds of conveyance containing the recital that the agreed consideration represented the highest prevailing market price was not sufficient for disputing the stamp value and making reference to the departmental valuation officer in terms of sub-section (2) of section 50C of the Income-tax Act, 1961 and its purported findings in that behalf are arbitrary, unreasonable and perverse? (b) Whether and in any event, upon a true and proper interpretation of the material provisions of the Income-tax Act, 1961, the entire capital gain would be exempted if the sale consideration received is f....
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....der of the learned Commissioner of the Income-tax (Appeals) clearly shows that the learned Commissioner of Income-tax (Appeals) has given detailed reasons to show that the provisions of section 54F of the Act cannot be considered or treated as to be in pari materia with provisions of section 54EC of the Act. Further a perusal of the assessment order clearly shows that the Assessing Officer had provided the assessee an opportunity to take its stand in respect of the provisions of section 50C and the assessee had not replied in respect of section 50C. In the circumstances, we are of the view that the findings of the learned Commissioner of Income-tax (Appeals) and the Assessing Officer are on a right footing and do not call for any interferen....
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....ssessing Officer, in fairness, should have referred the matter to a valuation officer contemplated under Section 50C of the Act, rather than proceeding to assess the capital gain on the basis of the valuation made by the District Sub-Registrar. He added that this submission was specifically made before the learned Tribunal but the learned Tribunal chose to reject the prayer for technical reasons. He submitted that there has been total miscarriage of justice. In case the valuation made by the Assessing Officer is to be accepted, the resultant effect will be that the assessee lost both the property and the money value thereof. He, as such, submitted that the order under challenge should be set aside and the matter should be referred to the va....
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.... District Sub-Registrar was the fair market value of the property. No such inference can be made as against the assessee because he had nothing to do in the matter. Stamp duty was payable by the purchaser. It was for the purchaser to either accept it or dispute it. The assessee could not, on the basis of the price fixed by the Sub-Registrar, have claimed anything more than the agreed consideration of a sum of Rs. 10 lakhs which, according to the assessee, was the highest prevailing market price. It would follow automatically that his case was that the fair market value of the property could not be Rs. 35 lakhs as assessed by the District Sub-Registrar. In a case of this nature the Assessing Officer should, in fairness, have given an option ....