2019 (11) TMI 1235

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....ciating that there was no objective manner in which the amount given to the assessee at the time of retirement was determined and in directing the AO to delete the addition made on account of difference between the capital account and the sum received on retirement from a firm, amounting to Rs. 5,06,55,000/- under the head "Income from other sources". a) The Ld. CIT(A) failed appreciate and consider the implication of the fact that the amount of Rs. 5.07 crores received over and above the capital contribution of M/s. Abode Builders was on account of stated compensation which was mutually agreed upon between the parties, and before the Assessing Officer the assessee had not shown any scientific basis on which the amount was derived. b)....

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....appreciate the fact that the assessee submitted valuation based on Ready Reckoner value which was not submitted before the Assessing Officer, and the same was accepted by the CIT(A) without calling for remand report from the assessing officer, which is in contravention to Rule 46A. g) The Ld. CIT(A) failed to appreciate the fact that the compensation of Rs. 5.45 crores was not paid for transfer of shares which was not valued eithr by the firm M/s. Atul Real Estate Holdings or by the assessee, and the payment received by the assessee was by way of compensation, and the share valuation was done by the Assessing Officer as on the date of retirement, which is lesser than the initial capital contribution and the assessee could not have claime....

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....ew ground which may be necessary." 2. Facts of the case are that during the course of assessment proceeding it has been observed that assessee has claimed long-term capital gain amounting to Rs. 9,64,319/-. It has been observed that on 02.04.2007 M/s. Abode Builders became partner with 36% shares in M/s. Atul Real Estate holding capital of Rs. 9,28,45,000/-. On 11.04.2012 retirement of the partners of assessee from M/s. Atul Real Estate, assessee got Rs. 14,35,00,000/-. In his return of income the assessee has treated Rs. 14,35,00,000/- as sales consideration of partnership firm land sold and assessee got his share and taken indexation on Rs. 9,28,45,000/- thereby incurring long-term capital loss of Rs. 9,64,319/- during A.Y. 2013-14. But....

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..... CIT(A) has also gone through the all relevant documents. 7. Ld. DR relied on the order passed by the Ld. AO. 8. Thus, in our considered opinion Ld. CIT(A) has passed reasoned order and same does not require any kind of interference at our end. In the result, this ground of assessee is allowed. 9. The assessee has claimed deduction under section 80IB(10) of the Act of Rs. 38,75,140/- for the year under consideration. It has been noticed from the earlier years that on the same issue of deduction under section 80IB(10) for A.Y. 2007-08, A.Y. 2010-11, A.Y. 2011-12 and A.Y. 2012-13. The AO has taken the opinion that assessee is not eligible for deduction under section 80IB(10) rejected the claim of 80IB(10) and made addition of Rs. 38,75....