TaxTMI 
TaxTMI 
2022 (6) TMI 577
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....#39;the Act') by the Income Tax Officer, 1(1) Bilaspur (CG) dated 27.03.2014. 2. The hearing of the appeal was concluded through audio-visual medium on account of Government guidelines on account of prevalent situation of Covid-19 Pandemic, both the parties have placed their written as well as oral arguments during this online hearing process. 3. Before us the assessee has assailed the impugned order on the following grounds of appeal: "1. That the Learned CIT(Appeals) failed to appreciate the fact that there being no provision in the Act authorising the survey team to obtain estimated report of the registered valuer, placing reliance on such report was contrary to law particularly when reference to DVO was held by the same Learned ....
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....course of survey proceedings, the assessee given the statement that he had been investing in the construction of Plaza from the F.Y 2008-09. The assessee has shown investment in the construction of the commercial building named as C.G. Plaza, Telephone Exchange Road, Bilaspur in the current year at Rs. 47,30,361/-. The Assessing Officer has referred the same to the DVO for the valuation of the investment made by the assessee in the said property. The DVO, Jabalpur in his report estimated the total investment in the current year at Rs. 1,00,31,350/-. The Assessing Officer has derived difference of Rs. 53,00,989/-. 4.2 The assessee was asked to explain the same with evidence. The assessee vide letter dated 27/03/2014 has raised his objection....
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....report as per Sq. M area construction without considering the quality of construction and finishing cost. The Sq.m.area construction method is approximate valuation method and for accurate valuation once should considered the detailed quantities valuation method taking into consideration quantity of material, cost of material and cost of labour. II. The DVO has not given any basis or breakup of the rates adopted by him. He has even not given any reason for not considering the value as shown in the books of accounts. Whereas the registered valuer has considered the detailed analysis of material quantities and adopted the market rate as on date of construction which is the correct method of valuation. III. The DVO had taken the rates of....
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....cked by our registered valuer with market price. IX. Granite was directly procured from Orissa State on truck load basis. This saved the cost a lot. X. The valuation made by the registered valuer is arrived at total Rs. 134.93 lakhs, which is almost equal to the total cost of Rs. 136.35 lakhs shown in the books of accounts. The assessee's share at Rs. 67.47 (of registered valuer) and Rs. 68.18 as per books of accounts." 8. Ongoing through the submission of the assessee, the ld. CIT(A) has reduced the addition form Rs. 53,00,989/- to Rs. 12,14,500/-. The relevant finding of the ld. CIT(A) in this regard is as under:- "Decision- Since the factual position has already been discussed as above in Ground No. 2 I am of considered opinio....
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....o Rs. 35,00,000/- should have been added by the AO in the estimation made by the registered valuer for all three years altogether. Since 34.7% construction was completed for the instant year, same is to be appropriated, same percentage should be applied for making addition in the value of the registered valuer which comes to Rs. 12,14,500/-. This amount in my considered view deserves to be confirmed and balance addition made by the AO is deleted." 9. All the grounds raised by the assessee in this appeal are related to the addition made by the Assessing Officer and partly sustained by the ld. CIT(A) is in relation to alleged difference between the investment shown in the books and valuation made by the DVO which has been reduced by the ld. ....