ISLAMI ACADEMY TRUST,DELHI V. ITO WARD EXEMPTION 1(2), DELHI

ITA 6675/DEL/2025

AI Insights

The case involves M/s Islami Academy Trust, which appealed against the order of the CIT(A)/NFAC, Delhi, concerning the assessment year 2018-19. The primary issue was the assessment of long-term capital gains derived from the alleged sale of two plots. The Income Tax Officer had assessed the gains based on the difference between the actual sale price and the stamp value, leading to a tax implication. The Tribunal's decision to remand the case was based on the procedural oversight of not referring the valuation to the DVO as required under section 50C(2) of the Act.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 788183 (ITAT-DELHI)
• Duration Of Justice: 1 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-11-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: misc
• Appeal Filed On: 23-10-2025
• Other Referred Cases: Sunil Kumar Agarwal v. CIT (2014) 372 ITR 83 (Cal.)
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Matter Remanded
• Court: TRIBUNAL
• Keywords: Sale consideration of property below Jantri Value; Capital Gains
• Section: 143(3)

Judgement Text

"1 ITA No. 6675/Del/2025 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘SMC’ NEW DELHI BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER ITA No. 6675/Del/2025 Assessment Year: 2018-19 M/s Islami Academy Trust, D-320, Dawat Nagar, Abul Fazl Enclave, Jamia Nagar, New Dehi-110025. PAN: AAATI 5312 B Vs Income Tax Officer, Ward Exemption-1(2), Delhi. APPELLANT RESPONDENT Assessee represented by Sh. Anandi Prasad, CA Department represented by Shri Manoj Kumar, Sr. DR Date of hearing 27.11.2025 Date of pronouncement 27.11.2025 O R D E R PER SATBEER SINGH GODARA, JM: This assessee’s appeal ITA no. 6675/Del/ /2025 for assessment year 2018-19 arises against CIT(A)/ NFAC, Delhi’s order dated 26.08.2025 (DIN & Order No. ITBA/NFAC/S/250/2025-26/1080012800(1), in proceedings u/s 143(3) of the Income-tax Act, 1961, hereinafter referred to as the ‘Act’. Heard both the parties. Case file perused 2. It transpires during the course of hearing that both the learned lower authorities have held the assessee to have derived long term capital gains on alleged sale of its twin plots amounting to Rs. 11,46,139/-; on account of Printed from counselvise.com 2 ITA No. 6675/Del/2025 difference between the actual sale price of Rs. 32 lakhs vis a vis stamp value price thereof coming to Rs. 36,13,000/-; respectively in assessment order dated 11.02.2021 as upheld in the lower appellate discussion. 3. That being the case, learned counsel submits that both the lower authorities nowhere made any statutory reference u/s 50C(2) of the Act to the DVO which has been held as mandatory in nature in Sunil Kumar Agarwal v. CIT (2014) 372 ITR 83 (Cal.). This factual position has gone unrebutted from the Revenue side. This tribunal, therefore, finds merit in the assessee’s instant first and foremost legal argument and remits the matter back to the learned Assessing Officer for his fresh adjudication as per law. It is made clear that the learned Assessing Officer’s consequential computation shall only assess the assessee’s capital gain qua the plots sold/transferred in the relevant assessment year. Ordered accordingly. All other issues between the parties are kept open at this stage. 4. This assessee’s appeal is allowed for statistical purposes. Order pronounced in open court on 27.11.2025. Sd/- (SATBEER SINGH GODARA) JUDICIAL MEMBER Dated: 28.11.2025. *MP* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI Printed from counselvise.com 3 ITA No. 6675/Del/2025 Printed from counselvise.com "