TaxTMI 
TaxTMI 
2017 (6) TMI 542
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....of Ld. Commissioner of Income Tax (Appeal) is erroneous and bad in law and deserves to be cancelled and the order passed by the Assessing Officer deserves to be sustained on the facts of the case. 3. The spirit of section 50C regarding full value of consideration has not been appreciated by the Ld. Commissioner of Income Tax (Appeal). The full value of consideration and index cost of acquisition were rightly adopted by the Assessing Officer in respect of both the properties. 4. Even if the Ld. Commissioner of Income Tax (Appeal) was of the view that the matter should have been referred to the valuation officer u/s 50C 2(a) of I.T. Act, 1961, he might have directed the Assessing Officer to make valuation after referring to Valuation Of....
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....in question as per value determined by the state authority for the purpose of stamp duty and capital gain was worked out accordingly. The Id. CIT (Appeals) has, however, accepted the explanation of the assessee and has held the assessment in question on the issue as not valid in the eyes of law. The ld. CIT (A) has accordingly annulled the same. 3.1 In support of the ground, the Id. Sr. DR has basically placed reliance on the assessment order. He submitted that the Assessing Officer has followed the procedure laid down under section 50C of the Act. He submitted that if any irregularity of procedure is there in the assessment order, the same may be set aside to the file of the Assessing Officer to pass fresh assessment order on the issue ....
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....subject to continuous litigation under the UP Imposition of Ceilings on Land Holdings Act, 1960; vii. In view of the above circumstances the land was sold to the purchaser with the condition that if in future the purchaser has to vacate the land due to any order of the Court or any other legal proceedings even then the assessee will not be required to refund the sales price received. This has led to a further reduction in the sale price. Land impugned land is situated in river side and is covered on three sides by the river; Apart from the above the assessee has submitted certificates from various independent purchasers as noted in pages 18-21 of CIT (A) order in the case of co-owner of property who had sold his share of land. The sai....
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....on 50C on the facts and circumstances of the case. The Id. CIT (Appeals) was thus justified in holding the assessment on the issue as null and void. He contended that when an authority under the provisions of law is required to exercise powers or to do an act in a particular manner, then that power has to be exercised and the act has to be performed in that manner alone and not in any other manner. In support he has placed reliance on the following decisions :- (i) Dr. Shashi Kant Garg Vs. CIT, 285 ITR 158 (All.) (ii) CIT Vs. Anjum M. H. Ghaswala & Others, 252 ITR 1 (SC); (iii) DCIT Vs. Mahi Valley Hotels and Resorts, 287 ITR 360 (Guj.) 3.5 The Idi AR pointed out that the value so adopted by the stamp valuation authority had not....
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.... the purposes of section 48, be deemed to be the full value of the consideration received or accruing as a result of such transfer. 58[Provided that where the date of the agreement fixing the amount of consideration and the date of registration for the transfer of the capital asset are not the same, the value adopted or assessed or assessable by the stamp valuation authority on the date of agreement may be taken for the purposes of computing full value of consideration for such transfer: Provided further that the first proviso shall apply only in a case where the amount of consideration, or a part thereof, has been received by way of an account payee cheque or account payee bank draft or by use of electronic clearing syste....
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....ssion "assessable" means the price which the stamp valuation authority would have, notwithstanding anything to the contrary contained in any other law for the time being in force, adopted or assessed, if it were referred to such authority for the purposes of the payment of stamp duty.] (3) Subject to the provisions contained in sub-section (2), where the value ascertained under sub-section (2) exceeds the value adopted 61[ or assessed or assessable] by the stamp valuation authority referred to in sub-section (1), the value so adopted 61[ or assessed or assessable] by such authority shall be taken as the full value of the consideration received or accruing as a result of the transfer.] 4.1 On the very perusal of the provisions la....