Gangani Hari Krishna , Ranga Reddy V. Income Tax Officer, Ward-8(2), Hyderabad

ITA 1054/Hyd/2019

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 5756 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 7 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-02-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-B
• Next Hearing Date: 12-01-2021
• Assessment Year: 2009-2010
• Appeal Filed On: 26-06-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Sale consideration of property below Jantri Value; Capital asset
• Section: 50C; 72

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES B : HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI A.MOHAN ALANKAMONY, ACCOUNTANT MEMBER AND SHRI S.S.GODARA, JUDICIAL MEMBER ITA NO. A.Y. APPELLANT RESPONDENT 1052/HYD/19 2009-10 GANGANI JAYA RAJ RAJENDRANAGAR MANDAL, R.R.DIST., [PAN: ANMPR2335J] INCOME TAX OFFICER, WARD-8(2), HYDERABAD 1053/HYD/19 2009-10 HARI BABU GANGANI, RAJENDRANAGAR MANDAL, R.R.DIST., [PAN: AOXPG3837Q] 1054/HYD/19 2009-10 GANGANI HARI KRISHNA, RAJENDRANAGAR MANDAL, R.R.DIST., [PAN: AZVPK8658E] FOR ASSESSEE : SHRI MOHD. AFZAL, AR FOR REVENUE : SHRI ROHIT MUJUMDAR, DR DATE OF HEARING : 12-01-2021 DATE OF PRONOUNCEMENT : 04-02-2021 O R D E R PER S.S.GODARA, J.M. : THESE THREE ASSESSEES APPEALS ARE FOR AY.2009-10 AR ISES FROM THE CIT(A)-1, HYDERABADS ORDER DATED 25-02-2019 PASSED IN APPEAL NOS.0474, 0475 & 0476/16-17/ITO, WARD-8(2 ), HYDERABAD/ CIT(A)-1/HYD/2018-19, INVOLVING PROCEEDI NGS U/S.143(3) R.WS. 147 OF THE INCOME TAX ACT, 1961 [IN SHORT, THE ACT]. HEARD BOTH THE PARTIES. CASE FILES PERUSED. ITA NOS. 1052, 1053 & 1054/HYD/2019 :- 2 -: 2. THE ASSESSEES IDENTICAL SOLE SUBSTANTIVE GRIEVANCE RAISED IN THE INSTANT APPEALS CHALLENGES CORRECTNESS OF BOTH T HE LOWER AUTHORITIES ACTION MAKING LONG TERM CAPITAL GAIN ADDI TION OF RS.1,05,00,892/-; EACH, AFTER INVOKING SECTION 50C OF THE ACT, IN THE COURSE OF ASSESSMENT AND UPHELD IN THE CIT(A) S ORDER. SUFFICE TO SAY IT IS NOT IN DISPUTE THAT BOTH THE LOWER AUTHORITIES HAVE GONE BY THE STAMP RATE OF THE CAPITAL A SSET TRANSFERRED BY THE ASSESSEES AT MUCH LOWER VALUE AFTER INVOKING SECTION 50C OF THE ACT THEREBY MAKING THE IMPU GNED ADDITION. 3. LEARNED DEPARTMENTAL REPRESENTATIVE FAILS TO DISPUTE TH AT NEITHER OF THE LOWER AUTHORITY HAS MADE ANY STATUTORY REFERENCE TO THE DVO U/S.50C(2) OF THE ACT. 4. THE REVENUE AT THIS STAGE RAISED THE VEHEMENT CONTENTION THAT NO SUCH REFERENCE PRAYER CAME IN THE COU RSE OF ASSESSMENT AT THESE ASSESSEES BEHEST. WE FIND NO MER IT IN THE REVENUES INSTANT TECHNICAL ARGUMENTS. HON'BLE CALCUTTA HIGH COURT DECISION SUNIL KUMAR AGARWAL VS. CIT (2014) [3 72 ITR 83] (CAL) HOLDS THAT SECTION 50(C)(2) A REFERENCE TO TH E DVO IS MANDATORY IN SEC.50C PROCEEDINGS EVEN IF THE ASSESSEE CONCERNED FAILS TO AGITATE THE SAME AT THE APPROPRIATE S TAGE. 5. LEARNED AUTHORISED REPRESENTATIVE AT THIS STAGE STATED DURING THE COURSE OF HEARING THAT THE CAPITAL ASSET SOL D AT THE ASSESSEES BEHEST IN THE RELEVANT PREVIOUS YEAR ALSO INVOLVED SOME TITLE DISPUTE AND OTHER DISTRESSING FACTORS. WE THE REFORE RESTORE THIS SOLE ISSUE OF LONG TERM CAPITAL GAIN ADDIT ION RAISED AT THE ASSESSEES BEHEST BACK TO THE ASSESSING OFFICER F OR HIS APPROPRIATE ADJUDICATION AFTER MAKING NECESSARY REFERE NCE TO ITA NOS. 1052, 1053 & 1054/HYD/2019 :- 3 -: THE DVO AS PER LAW. IT IS MADE CLEAR THAT THE ASSESSEE S SHALL BE AT LIBERTY TO RAISE ALL FACTUAL/LEGAL PLEAS IN CONS EQUENTIAL PROCEEDINGS. 6. THESE ASSESSEES APPEALS ARE TREATED AS ALLOWED FO R STATISTICAL PURPOSES IN ABOVE TERMS. A COPY OF THIS CO MMON ORDER BE PLACED IN THE RESPECTIVE CASE FILES. ORDER PRONOUNCED IN THE OPEN COURT ON 4 TH FEBRUARY, 2021 SD/- SD/- ( A. MOHAN ALANKAMONY ) ( S.S. GODAR A ) ACCOUNTANT MEMBER JUDICIAL MEMBER HYDERABAD, DATED: 04-02-2021 TNMM ITA NOS. 1052, 1053 & 1054/HYD/2019 :- 4 -: COPY TO : 1.GANGANI JAYA RAJ, C/O.MOHD.AFZAL, ADVOCATE, FLAT NO.402, SHERSON'S RESIDENCY, 11-5-465, CRIMINAL COU RT ROAD, RED HILLS, HYDERABAD. 2.HARI BABU GANGANI, C/O.MOHD.AFZAL, ADVOCATE, FLAT NO.402, SHERSON'S RESIDENCY, 11-5-465, CRIMINAL COU RT ROAD, RED HILLS, HYDERABAD. 3.GANGANI HARI KRISHNA, C/O.MOHD.AFZAL, ADVOCATE, F LAT NO.402, SHERSON'S RESIDENCY, 11-5-465, CRIMINAL COU RT ROAD, RED HILLS, HYDERABAD. 4.THE INCOME TAX OFFICER, WARD-8(2), HYDERABAD. 5.CIT(APPEALS)-1, HYDERABAD. 6.THE PR.CIT-2, HYDERABAD. 7.THE PR.CIT-1, HYDERABAD. 8.D.R. ITAT, HYDERABAD. 9.GUARD FILE.