TaxTMI 
TaxTMI 
TaxTMI 
2023 (4) TMI 132
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.... of the assessee. The case has been adjourned on all previous occasions i.e. on 9.12.2021, 23.3.2022, 12.7.2022, 19.10.2022 and 19.1.2023 on the written request of the assessee's counsel. On 19.1.2023 the matter was adjourned to 23.1.2023 on the assesses request but none appeared nor any application seeking adjournment was filed on the said date. Accordingly a final opportunity was granted and the appeal fixed for hearing on 24.1.2023, but again nobody appeared on behalf of the assessee. Therefore, it was decided to adjudicate the appeal, ex parte after hearing the ld.DR and considering the material available on record. 3. The grounds of appeal raised by the assessee read as under: "The ld.AO erred in making addition of Rs.2,53,08,032/- ....
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....t with the direction to frame the order afresh after making necessary inquiry vis a vis the assesses claim of the impugned land qualifying as not being a capital asset in terms of section 2(14) of the Act. The AO was directed to make inquiries under section 133(6) of the Act regarding the distance of the assessee's land in Tarapur from Gandhinagar and Ahmedabad Municipal limit. The ld.PCIT observed that as per the available records the land was located within 4 kms. limit of Gandhinagar Municipal limit and 5 kms. from Ahmedabad City, and therefore, claim of the assessee, under section 2(14) of the Act , of the asset not qualifying as capital asset,was not in accordance with law. Before the AO, the assessee submitted the following documents....
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....by the Dy.Engineer, Road Project Panchayat sub-division, Gandhinagar, Certificate issued that the distance between Gandhinagar Sachivalayato Tarapur is more than 5 kms. No distance between boundary limits of Gandhinagar corporation to Tarapur is mentioned therein. iv) Certificate issued by GUDA states that the land is situated under AGRI Zone (AG-2) but you have not furnished any evidence, whether land was utilized for agri.purpose or not. It is also observed that the assessee has not claimed any agri.income in the return of income filed for the year under consideration. The land in question was not agri.land but capital asset. v) It is stated that the land situated at Village Tarapur is more than 14 kms. From Ahmedabad Municipal corpor....
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....ho in turn reiterated and relied upon the documents filed by him to the AO . The AO noting that the assessee had only reiterated his earlier contentions and finding that all the documents were only xerox copies and vague ,rejected the contention of the assessee and based on his inquiry held that the land being situated within the prescribed limits of Gandhinagar and Ahmedabad municipalities did not qualify for being not treated as a capital asset in terms of section 2(14) of the Act.Accordingly the assesses claim of exemption of capital gains to tax amounting to Rs.2,53,08,032 /- was denied and the entire amount added to the income of the assessee. 9. The matter was carried in appeal before the ld.CIT(A) where in turn he filed certificates....
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.... are not specific and vague (as discussed in Para 2.3 of this order). Therefore, the same cannot be taken as evidence. Secondly, the AO has also got the information u/s.133(6) of the Ct from the following authorities and confronted the appellant at the time of assessment proceedings:- 11. Perusal of the above reveals that the Ld.CIT(A) agreed with the AO while rejecting the documents submitted by the assessee to the AO proving that the land was situated beyond the prescribed limits of Gandhinagar and Ahmedabad municipalities and that it was agricultural land. The Ld.CIT(A) held that the AO had correctly doubted the veracity of these documents, being found by the AO to be all xerox copies and vague. The AO had noted that the documents certi....
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....ance certificates of the land both from Gandhinagar and Ahmedabad municipal limits ,issued by the Gandhinagar municipal corporation and GUDA stating the land to be at a distance of 6Kms and 9.53 Kms respectively from the two municipalities. The Ld.CIT(A) has not dealt with these certificates submitted by the assessee. The assessee also contended that the land was used for growing Sorghum (Jawar) and furnished copies of Form No.12 evidencing the fact of the land being cultivated since 2007-08. The Ld.CIT(A) has not addressed this aspect also. 14. In view of the above we find that the Ld.CIT(A) has confirmed the addition made without dealing with the contentions and evidences filed by the assessee. 15. The issue clearly needs reconsideratio....