Bhushan Ramchandra Zinzurde, Pune V. Deputy Commissioner of Income-tax, Circle - 4, Pune

ITA 2280/PUN/2017

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 0476 (ITAT-PUNE)
• Duration Of Justice: 4 year(s) 8 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-06-2022
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: A
• Assessment Year: 2011-2012
• Appeal Filed On: 28-09-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Fair market value; Valuation report
• Section: 143(3)

Judgement Text

आयकर अपीऱीय अधिकरण “ए” न्यायपीठ पुणे में । IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, PUNE BEFORE SHRI S.S.GODARA, JM AND SHRI DR. DIPAK P. RIPOTE, AM आयकर अपीऱ सं. / ITA No.2280/PUN/2017 ननधधारण वषा / Assessment Year : 2011-12 Late Bhushan Ramchandra Zinjurde, L/H Reshma Bhushan Zinjurde, B1/C,Flat No.110, Sonigarakesar,Wakad, Pune – 411 057 PAN : AALPZ8225D .......अपऩलधथी / Appellant बनधम / V/s. DCIT, Cir-4, Pune ......प्रत्यथी / Respondent Assessee by : Shri Pramod S. Shingte Revenue by : Shri S. P. Walimbe सपनवधई की तधरऩख / Date of Hearing : 12.05.2022 घोषणध की तधरऩख / Date of Pronouncement : 08.06.2022 आदेश / ORDER PER S. S. GODARA, JM : 1. This assessee’s appeal for A.Y. 2011-12 is directed against the CIT(A)-3, Pune’s order dated 21/09/2015 passed in case No.PN/CIT(A)-3/DCIT Cir- 4/128/2014-15 involving proceeding u/s. 143(3) of the Income Tax Act, 1961 ; in short "the Act. Heard both the parties. Case file perused. 2 ITA No.2280/PUN/2017 Late Bhushan Ramchandra Zinjurde, ., 2. The first and foremost issue between the parties herein is regarding addition of Rs.1.9 crore out of total consideration of Rs. 5.5 crores. It is an admitted fact that assessee had indeed declared the first installment of Rs.3.6 Crores representing the actually received amount going by the agreement corresponding dated 19.03.2011 executed with M/s. Sonigara Promoters. Learned lower authorities have added the impugned balance component as well thereby rejecting assessee’s plea of a dispute having being arisen between the parties. 3. We notice in this factual background that the assessee had filed its detailed paperbook and more particularly a recent cancellation deed dated 01.04.2022 duly registered before the prescribed authority that the impugned balance consideration has been decided to have been reduced from the forgoing sum of Rs.5.5 crores. Faced with this situation and keeping in mind the fact that this is in the nature of additional evidence only, we deem it appropriate to restore the instant former issue back to the assessing authority for its afresh adjudication after necessary factual verification in consequential proceedings. Ordered accordingly. 4. Next comes assessee’s latter issue of cost of acquisition as on 01.4.1981 involving rival valuation reports from the registered valuer as well as the DVO; as the case may be. Suffice to say, the assessee had considered the impugned cost of 13.50 lacs whereas the Assessing Officer has adopted the same at Rs.63,000/- only. The Revenue could hardly dispute the corresponding clinching statutory expression “is at variance with its fair market value” has come from 1.7.2012 vide Finance Act 2012 thereby 3 ITA No.2280/PUN/2017 Late Bhushan Ramchandra Zinjurde, ., substituting “is less than its fair market value”. The same admittedly carries prospective effect whereas we are in assessment year 2011-12. We thus quote CIT Vs Puja Prints 2014 360 ITR 697(Bom.) that the impugned statutory provision could not be applied with retrospective effect for the purpose of ascertaining such a cost acquisition claimed as more than the fair market value. We accordingly accept the assessee’s latter substantive ground in very terms. No other ground has been pressed before us. 5. This assessee’s appeal is partly allowed in above terms. Order pronounced in the Open Court on this 8 th day of June, 2022. Sd/- Sd/- S (DR.DIPAK P.RIPOTE) (S.S. GODARA) लेखध सदस्य/ ACCOUNTANT MEMBER न्यधनयक सदस्य/JUDICIAL MEMBER पपणे / Pune; ददनधांक / Dated : 8 th June, 2022. Ashwini आदेश की प्रनतनलनप अग्रेनषत / Copy of the Order forwarded to : 1. अपऩलधथी / The Appellant. 2. प्रत्यथी / The Respondent. 3. The CIT(A)-3, Pune. 4. The Pr.CIT-2, Pune. 5. नवभधगऩय प्रनतनननध, आयकर अपऩलऩय अनधकरण, “ए” बेंच, पपणे / DR, ITAT, “A” Bench, Pune. 6. गधर्ा फ़धइल / Guard File. आदेशधनपसधर / BY ORDER, // True Copy // Senior Private Secretary आयकर अपऩलऩय अनधकरण, पपणे / ITAT, Pune. 4 ITA No.2280/PUN/2017 Late Bhushan Ramchandra Zinjurde, ., S.No. Details Date Initials 1 Draft dictated on 12.05.2022 2 Draft placed before author 07.06.2022 3 Draft proposed & placed before the Second Member 4 Draft discussed/approved by Second Member 5 Approved Draft comes to the Sr. PS/PS 6 Kept for pronouncement on 7 Date of uploading of Order 8 File sent to Bench Clerk 9 Date on which the file goes to the Head Clerk 10 Date on which file goes to the A.R. 11 Date of Dispatch of order