2017 (8) TMI 335

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....eriving income from partnership firm, M/s.Shivam Builders & Jyoti Developers, capital gains & income from other sources. The Assessee has shown STCG of Rs. 5,21,710/- and after deduction of Rs. 50,000/-, the net STCG was Rs. 4,71,710/. On verification of sale agreement deed, the stamp duty valuation was found at Rs. 44,00,000. Therefore, the AO issued show case as to why the stamp duty valuation should not be taken as sale value for computing STCG. Accordingly, the AO added the differential capital gain of Rs. 16,73,000/- to the total income of the assessee. 4. By the impugned order CIT(A) confirmed the addition by observing that even though the sale agreement was executed on 09/10/2011 but it was registered on 11/01/2012, on the date of....

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....ssee; therefore, the assessee cannot deny the sale consideration on the basis of stamp duty valuation. 7. I have considered rival contentions and carefully gone through the orders of the authorities below. From the record I found that addition was made by AO replacing the full value of consideration by invoking the provisions of Sec.50C of the Act on the date on registration. The assessee has agreed to sale a plot of land situated at Tembhode, S.No.74/1B, Palghar district for a total consideration amounting to Rs. 27,27,000/- on 11th june 2011. At that time, the market value of the said plot was Rs. 22,00,000/-Subsequently, the assessee entered into agreement for sale on 9th October 2011. As per the said agreement, the assessee has alrea....

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....5OC should/be taken at Rs. 22,00,000/- and on comparison of the same with the agreement value, no additions are warranted u/s 50C of the Act. It is pertinent to note that the agreement for sale states that the entire payment is received by the assessee by 21.12.2011 which is in the year 2011. Further, the agreement for sale is a contract binding the parties who have executed the same and on the date its execution, substantial amount of Rs. 11,00,000/- out of the total sale consideration of Rs. 27,27,000/- was received. Further, possession of the property is also parted on 09.11.2011.The facts and circumstances clearly demonstrate that the transfer has already been done on 09.10.2011. The case of the assessee is covered in sub-clause (i) and....