2025 (4) TMI 745

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Income-tax Act, 1961 [hereinafter referred to as "the Act" for short], for Assessment Year (AY) 2012-13. 2. The Assessee has taken following grounds of appeal:- "1. The learned CIT(A) erred in law and on facts in confirming the addition made by Assessing Officer of Rs. 1,18,33,400/- being the amount of Sale Consideration of Land, such addition is requested to be deleted. 2. The learned CIT(A) erred in law and on facts in confirming the Act of AO of applying Section 50C of the Income of Income Tax Act, 1961, such application of Section 50C is requested to be quashed. Additional Ground: The learned AO erred in not granting the deduction of cost of acquisition and indexation thereof from the sale price of the land while calculating th....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....n as per Jantri Rate and actual sale deed without considering the facts and evidences of the case. The Ld. AR contended that the Assessing Officer has erred in taking the full value of consideration for transfer at Rs. 3,55,00,200/- u/s 50C of the Act and the consideration for transfer was already fixed at Rs 1,20,00,000/- as per the sale agreement prior to the execution of the sale deed. The Ld. AR accordingly submitted that the amount of Rs. 1,20,00,000/- shall be treated as full value of consideration as against Rs. 3,55,00,200/- based on the revised stamp duty levied in the sale deed. In short, the Ld. AR pleaded that first proviso to Section 50C(1) of the Act in the case of assessee be applied to take the value as per the sale agreemen....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....y discussed above, the Assessing Officer invoked section 50C and adopted Rs 3,55,00,200/- as full value of consideration based on the sale deed. The assessee, on the other hand, argued that the full value of consideration should be restricted to Rs 1,20,00,000 as per the agreement executed prior to registration of the property in terms of first and second proviso to section 50C. Now, the main issue for adjudication is to determine whether the full value of consideration should be adopted at Rs 3,55,00,200/- or at Rs 1,20,00,000/-. 9. Provisions of Section 50C relevant to the assessment year are as under:- 50C. (1) Where the consideration received or accruing as a result of the transfer by an assessee of a capital asset, being land or bui....