TaxTMI 
TaxTMI 
2019 (2) TMI 277
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.....CIT(A) has erred in reducing the addition from 23,00,000/- to Rs. 8,41,000/- made by AO without appreciating the material facts of the case." CO No. 10/JP/2018 (Assessee's Grounds of appeal): "1. The Ld. CIT(A) has erred on facts and in law in confirming the addition of Rs. 8,41,000/- by treating the source for purchase of land to this extent as unexplained. 2. The Ld. CIT(A) has correctly held that the agricultural land purchased by assessee during the year is not a capital asset as per section 56(2)(viib) both on account of the fact that it is a rural agricultural land and otherwise it is stock-in-trade of the assessee and therefore, rightly deleting the addition made by AO under this section." 2. Briefly the facts of the case are that the assessee has purchased three plots of land during the year under consideration and has claimed that these plots of land are agricultural land and doesn't fall in the definition of capital asset as per the provisions of Section 2(14) of the Act. The AO, however invoked the provisions of Section 56(2)(viib) of the Act and made an addition of Rs. 1,74,06,224/- which includes an amount of Rs. 1,51,06,224/- being difference ....
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....the transfer of immovable property and the date of registration are not the same, the stamp duty value on the date of the agreement may be taken for the purposes of this sub-clause: Provided further that the said proviso shall apply only in a case where the amount of consideration referred to therein, or a part thereof, has been paid by any mode other than cash on or before the date of the agreement for the transfer of such immovable property; (c) any property, other than immovable property,- (i) without consideration, the aggregate fair market value of which exceeds fifty thousand rupees, the whole of the aggregate fair market value of such property; (ii) for a consideration which is less than the aggregate fair market value of the property by an amount exceeding fifty thousand rupees, the aggregate fair market value of such property as exceeds such consideration : Provided that where the stamp duty value of immovable property as referred to in sub-clause (b) is disputed by the assessee on grounds mentioned in sub-section (2) of section 50C, the Assessing Officer may refer the valuation of such property to a Valuation Officer, and the p....
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....al; (G) spouse of the person referred to in items (B) to (F); and (ii) in case of a Hindu undivided family, any member thereof;] (f) "stamp duty value" means the value adopted or assessed or assessable by any authority of the Central Government or a State Government for the purpose of payment of stamp duty in respect of an immovable property;" 5. The above provisions thus provides that where an individual receives in any previous year, from any person or persons on or after the 1st day of October, 2009 but before the 1st day of April, 2017, any immoveable property for a consideration which is less than the stamp duty value of the property by an amount exceeding fifty thousand rupees, the stamp duty value of such property as exceeds such consideration shall be income chargeable to tax under the head "Income from other sources". 6. In the instant case, the assessee has purchased three plots of land during the year under consideration. The sale consideration as per the respective sale deeds amounts to Rs. 23,00,000 and the stamp duty value of such properties as determined by the Stamp duty authority amounts to Rs. 1,74,06,224/- and therefore, there is ....
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.... details below: i. Purchased a land on 08/01/2014 at Vill: Chandbaas, Chirkhana Tehsil: Bahadarpur, Distt: Alwar from Sh. Sahabuddin for a cash consideration of Rs. 8 lakhs. However, stamp valuation authority has valued the land at Rs. 72,14,000/- for stamp duty purpose. Stamp duty and transfer charges paid by the appellant was Rs. 4,27,000/-. 11 ii. Purchased a land on 10/02/2014 in the same village as mentioned above from Sh. Jakamdin for a consideration of Rs. 8 lakhs but stamp valuation authority has valued the land at Rs. 57,71,000/- for stamp duty purpose. Stamp duty and transfer charges paid by the appellant was Rs. 3,69,300/-. iii. Purchased a land on 06/02/2014 in the same village as mentioned above from Sh. Imrat for a consideration of Rs. 7 lakhs but stamp valuation authority has valued the land at Rs. 44,21,224/- for stamp duty purpose. Stamp duty and transfer charges paid by the appellant was Rs. 1,17,230/-. In the assessment order the A.O. had accepted the source of expenses incurred on account of stamp duty and other transfer charges amounting to Rs. 9,38,600/-. However, the purchase consideration amounting to Rs. 23 Lakhs have bee....