DCIT, New Delhi V. Sh. Sunil Chopra, New Delhi

ITA 1355/DEL/2013

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 86858 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 11 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-03-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 02-03-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 07-03-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B R R KUMAR
• Keywords: Sale consideration of property below Jantri Value; Tax effect
• Section: 50C

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES : G NEW DELHI BEFORE SHRI G.D.AGRAWAL , V.P. AND SHRI GEORGE GEORGE K, J.M. ITA NO. 1355 / DEL/20 1 3 ASSESSMENT YEAR : 200 8 - 09 DCIT, CIRCLE 40(1) VS. SH.SUNIL CHOPRA NEW DELHI 51, 1 ST FLOOR, UDAY PARK NEW DELHI PAN: AB MPC 5839 J (APPELLANT) (RESPONDENT ) APPELLANT BY : - SH. BRR KUMAR, SR.D.R. RESPONDENT BY : - SH. TARUN KUMAR , ADV. O R D E R PER GEORGE GEORGE K , JUDICIAL MEMBER THIS IS AN APPEAL FILED BY THE REVENUE DIRECTED AGAINST THE ORDER OF THE LD.CIT(APPEALS) - XXX, NEW DELHI DT. 17.12.2012 PERTAINING TO THE ASSESSMENT YEAR 2008 - 09, ON THE FOLLOWING GROUNDS. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD.CIT(A) HAS ERRED IN: - 1 . DELETING THE ADDITION OF RS.3,80,000/ - AS MADE UNDER THE HEAD INCOME FJROM THE LONG TERM CAPITAL GAIN BY A.O. ADOPTING SALE CONSIDERATION AT RS.4 1,80,000/ - AS PER PROVISIONS OF S.50C OF THE I.T.ACT ON WHICH STAMP DUTY AS PER CIRCLE RATE HAS BEEN ASSESSED AND CHARGED BY THE U.P.GOVERNMENT AGAINST SALE CONSIDERATION OF RS.38,00,000/ - AS ADOPTED BY THE ASSESSEE. 2 . IN APPLYING THE DECISION OF THE HON BLE HIGH COURT OF DELHI IN CASE OF CIT - II VS M/S KHOOBSURAT RESORTS P.LTD. HAD UPHELD THE DECISION OF ITAT DELETING THE ADDITION MADE IN THE CASE OF PURCHASER OF THE PROPERTY WHERE AS IN THE INSTANT CASE THE ASSESSEE IS A SELLER IN WHOSE CASE PROVISIONS OF S. 50C SQUARELY APPLIES. 2 3. AT THE VERY OUTSET, THE LD.COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE TAX EFFECT IN THE APPEAL OF THE REVENUE, IS BELOW THE PRESCRIBED LIMIT OF RS.4 LAKHS FOR FILING OF APPEAL BEFORE THE ITAT. THE CBDT IN ITS INSTRUCTION N O. 5/2014, PRESCRIBED THE REVISED MONETARY LIMIT FOR FILING APPEAL TO TRIBUNAL AT RS.4 LACS. IT WAS CONTENDED THAT THIS REVISED MONETARY LIMITS ARE APPLICABLE TO PENDING CASES. 4. MR.BRR KUMAR, LD.SR.D.R. WAS HEARD ON BEHALF OF THE REVENUE. HE SU BMITTED THAT THE REVISED LIMITS ARE NOT APPLICABLE TO PENDING CASES. 5. WE HAVE HEARD RIVAL CONTENTIONS AND PERUSED THE MATERIAL ON RECORD. THE TRIBUNAL, IN THE CASE OF DCIT VS. SUSHILA SARAOGI (2014) (11) TMI 294 ITAT KOLKATA, AFTER CONSIDERING THE PRECEDENTS ON THE SUBJECT, HELD THAT THE INSTRUCTION NO.5/14, ISSUED BY THE CBDT ON 10.7.2014 IS APPLICABLE TO THE PENDING APPEALS. THE TRIBUNAL FOLLOWED THE PROPOSITION LAID DOWN IN THE JUDGEMENTS OF VARIOUS HIGH COURTS, INCLUDING THE TWO JUDGEMENTS OF THE JURISDICTIONAL HIGH COURT IN THE CASE OF CIT VS. M/S PS JAIN & CO. IN ITA 179/1991 DT. 2.8.2010 AND IN THE CASE OF CIT VS. DELHI RACE CLUB LTD. DT. 3.3.2011. WE RESPECTFULLY FOLLOW THE CO - ORDINATE BENCH ORDER. IN THE INSTANT CASE, AS THE TAX EFFE CT BEING BELOW RS. 4 LACS, WE WITHOUT GOING INTO THE ISSUE ON MERIT, DISMISS THE APPEAL OF THE REVENUE IN LIMINE AS NOT MAINTAINABLE. IT IS TO BE MENTIONED THAT THE LD.DR WAS UNABLE TO POINT OUT ANY EXCEPTIONAL CIRCUMSTANCES, MENTIONED IN BOARD INSTRUCT ION NO.5 OF 2014 THAT HAVE LED TO FILING OF THIS APPEAL, DESPITE THE FACT OF THE MONETARY LIMIT BEING BELOW THE PRESCRIBED LIMIT. 6. IN THE RESULT THE REVENUE S APPEAL STANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 02 ND MARCH, 2015 . SD/ - SD/ - (G.D.AGRAWAL) (GEORGE GEORGE K) VICE PRESIDENT JUDICIAL MEMBER DATED: THE 02 ND MARCH, 2015 *MANGA 3 COPY OF THE ORDER FORWARDED TO: 1.APPELLANT; 2.RESPONDENT; 3.CIT; 4.CIT(A); 5.DR; 6.GUARD FILE BY ORDER ASST. REGISTRAR