TaxTMI 
TaxTMI 
2017 (7) TMI 658
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.... arising from the assessment order dated 28th December, 2007 passed by the learned Assessing Officer (hereinafter called "the AO") u/s 143(3) of the Income-tax Act,1961 (Hereinafter called "the Act"). 2. The grounds of appeal raised by the assessee in the memo of appeal filed with the Income Tax Appellate Tribunal, Mumbai (hereinafter called "the Tribunal") read as under:- "1. The Learned Commissioner of Income Tax (Appeal) erred in taking the sale consideration of two flat at Rs. 59,64,200/- as valued by D.V.O. Instead of Rs. 53,40 600/- as per Stamp Duty Ready Reckoner. 2. The Learned Commissioner of Income Tax (Appeal) erred in taking the Reinvestment in Flat at Rs, 25,00,000/- instead of Rs. 30,51,846/- (i.e. Rs. 5,....
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.... Restricted to capital gain Long term capital gain Rs. Nil" The assessee had sold two flats. The assessee was asked to furnish the documents relating to the sale including registration documents. On perusal of the agreement and registration documents submitted by the assessee, it was observed by the AO that in respect of flat No. 101,Sun Mist 'C' CHS Ltd, Plot No. 284, CTS 1435(part) Sherley Rajan Road, Bandra(West), Mumbai- 400050, the market value determined by the Stamp Authorities was Rs. 20,23,483/- as against Rs. 16 lacs shown by the assessee, while in respect of Flat No. 102,Sun Mist 'C' CHS Ltd, Plot No. 284, CTS 1435(part) Sherley Rajan Road, Bandra(West)....
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....he Act upto 31 August, 2005 vide Circular No.220/1/2005 dated 27.07.2005. The AO observed that the assessee has neither utilized the capital gain for the purpose of purchase of residential house on or before the date for filing of return nor has deposited the same with specified capital gain account with bank, hence deduction u/s 54/54F of the Act was not allowed and capital gain was computed by the AO, vide assessment order dated 28.12.2007 passed u/s 143(3) of the Act, as under:- Sale consideration of flats (as discussed above) Flat No. 101 Rs. 20,24,463 Flat No. 102 Rs. 26,00,000 Rs. 53,40,611 Less: Indexed cost of acquisition (as per assessee's own working) ....
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....to tax the balance capital gains amounting to Rs. 5,91,414/- in the hands of the assessee for the year under consideration, vide appellate orders dated 15-07- 2013 passed by learned CIT(A). 6.Aggrieved by the appellate orders dated 15-07-2013 passed by the ld. CIT(A), the assessee filed second appeal before the Tribunal. 7. The ld. Counsel for the assessee contended that the market value of the property should be adopted as per the value adopted by the stamp authorities which was determined at Rs. 53,40,611/- instead of Rs. 59,64,000/-adopted by the DVO, as against actual sale consideration of Rs. 42 lacs for both the flats. It was contended by learned counsel for the assessee that the assessee has invested Rs. 30,51,846/- in the new ....
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....of provisions of Section 50C(3) of the Act, the value as adopted by stamp duty authorities shall have to be adopted to be full value of consideration of the property for computing capital gains under provisions of the Act, as the valuation adopted by DVO is higher than stamp duty authorities valuation. The assessee is entitled for the deduction u/s 54/54F of the Act in accordance with law for all the investment made in the new eligible before the date of filing of return of income as provided u/s 139 of the Act or wherein the amount is deposited in specified capital gains account maintained with bank before the time stipulated u/s 139(1) of the Act. The assessee has stated to have invested in the new residential property on 23 September, 20....