2010 (2) TMI 1145

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... "(1) Whether the Tribunal was correct in holding that in its earlier order dt. 16th Dec., 2003 where it had held that the fair market value as on 1st April, 1981 of shade trees was Rs. 35 per square feet based on the certificate issued by the competent authority i.e., Dy. Conservator of Forest should be rectified with the value as on 1st April, 1981 by adopting Rs. 75 per square feet as held in one other case by the Tribunal that is in the case of Sangameshwara Coffee Estate ? (2) Whether the Tribunal was correct in holding that the fair market value of the shade trees can be taken at 70 per cent of the sale consideration as on 1st April, 1981 even though it is not based on only facts nor it is based on the similar case wher....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e's sister concerns ?" 3. Heard the counsel for the parties. 4. The dispute is in regard to value of the timber sold by the respondent-assessee pursuant to permission granted to cut and sell the excess shade trees in the estate of the assessee. The return of income was filed for the asst. yrs. 1998-99 and 1999-2000, The assessee's contention was 70 per cent of the sale consideration received by it has to be treated towards the cost of the timber as on 1st April, 1981, in order to compute the capital gains. But it is the case of the Revenue that it has to be arrived at a cost of Rs. 24.5 per cubic feet. Accordingly, the order was passed by the AO against which an appeal was preferred before the CIT(A), which also came to be dis....