2024 (1) TMI 424

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....ounds of appeal are as under:- 1. On the Facts and Circumstances of the case, the Assessment Order passed in pursuance to the directions issued by the Dispute Resolution Panel (DRP) is vitiated order, as the DRP erred both on facts and in law in confirming and enhancing the additions made by the made by the Assistant Commissioner of Income Tax, International Taxation Range 1(2)(1) New Delhi (Assessing Officer or AO') to the Appellant's Income. 2. The DRP/ Ld. A.O erred both on facts and in law in confirming the addition of Rs. 40,45,000/- to the Income of the Assessee u/s 56(2)(vii) (b)(ii) of the Income Tax Act, 1961 on account of consideration paid for the purchase of the flat No. 1301 Building known as "Ram Niva....

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....) are recommendatory in nature and not Mandatory. The Assessee Prays that the Stamp Duty Value of the Property as on date of Agreement (i.e. 21.06.2010) of Rs. 1,40,16,984, duly certified as per the report of Registered/ Govt. Approved Valuer M/s. G.N. Gandhe, dated 18.04.2022 be considered for the purpose of Provisions of section 56(2) (vii) (b) (ii) of the Act, as the Assessee had paid consideration for the purchase of Said Flat since 2010 in terms of and in compliance of the Proviso to section 56(2)(vii) (b)(ii) of the Act. 3. Heard the arguments of both the parties and perused the material available on record. 4. The Appellant, a non-resident individual, did not file return of income for the Assessment Year 2014-15 on the premise ....

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....0,45,000 (i.e. 2,22,45,000 being the stamp value as on the date of registration) minus Rs 182,00,000 being the amount paid. The AO declined to give relief of the first proviso to s. 56(2)(vii)(b) of the Act on the premise that the phrase used in the said proviso is "may be taken" and not "shall be taken". 7. In summary, the details are as under: Consideration (Rs.) Stamp Value as on 13.08.2013 (Rs.) Stamp value as on 21.06.2010 as per approved Govt Valuer (Rs.) Rs. 1,82,00,000 Rs. 2,22,44,345 or Rs. 22,45,000 1,40,16,984 8. The relevant observation of the Assessing Officer is as under: "21. In view of the above, considering the directions of Hon'ble DRP, the assessee's contentions were verified. It i....

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....e of such property; (ii) 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: Provided that where the date of the agreement fixing the amount of consideration for the transfer of immovable property and the date of registration are not the same, the stamp duty value on the date of the agreement maybe 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 ....