Machindra L. Bodke, Pune V. Income-tax Officer, Ward - 9(3), Pune

ITA 2829/PUN/2017

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 4038 (ITAT-PUNE)
• Duration Of Justice: 4 year(s) 4 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-04-2022
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: A
• Assessment Year: 2009-2010
• Appeal Filed On: 03-12-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Cost of acquisition; Fair market value; Capital Gains
• Section: 148; 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.2829/PUN/2017 ननधधारण वषा / Assessment Year : 2009-10 Shri Machindra L. Bodke, A/p Gahunje, Maval Pune- 410 506. PAN : AOBPB9433R .......अपऩलधथी / Appellant बनधम / V/s. ITO, 9(3), Pune ......प्रत्यथी / Respondent Assessee by : Dr. Vardhaman L. Jain Revenue by : Shri S. P. Walimbe सपनवधई की तधरऩख / Date of Hearing : 19.04.2022 घोषणध की तधरऩख / Date of Pronouncement : 22.04.2022 आदेश / ORDER PER S. S. GODARA, JM : 1. This assessee’s appeal for A.Y. 2009-10 directed against the CIT(A) - 6, Pune’s order dated 20/09/2017 in case No. PN/CIT(A) -6 /ITO W.9(3)/151/2016-17 involving proceeding u/s. 143(3) of the Income Tax Act, 1961 ; in short "the Act. Heard both the parties. Case file perused. 2. The assessee pleads the following substantive grounds in the instant appeal: “1. The Learned CIT(A) erred in law and on facts in confirming jurisdiction u/s 148 of the Income Tax Act, 1961. 2 ITA No.2829/PUN/2017 Shri Machindra L. Bodke 2. Without prejudice to the above, the learned CIT(A) in erred in law and on facts in confirming the valuation of land as on 01.04.1981 at Rs.20/- per Sq.Mt as against that of Rs.240 per Sq. Mt. claimed by the appellant, and thereby making addition of Rs.1,21,59,030/- to the Income from Capital Gains.” 3. The assessee does not press for his former substantial ground challenging validity of proceedings u/s. 148 of the Act. Rejected accordingly. 4. Next comes assessee’s latter issue of fair market value as on 01.04.1981 for the purpose of computing capital gains claimed @ of Rs.240 Sq.Mt. as per registered value report which has seen reduced to Rs.20 per Sq.Mt. only resulting in addition of Rs.1,21,59,030/-. We note, that the same has arisen on account of the fact that the lower authorities have proceeded to disturb assessee’s registered valuer’s report to this affect u/s. 55A of the Act. 5. There is hardly any dispute between the parties, that the assessee’s registered valuer had determined the cost of acquisition/ fair market value as on 01.04.1981 at the rate of Rs.240 sq.ft. which admittedly happens to be already more than the SRO price at that point of time. The Revenue could not rebut the fact that the legislative amendment in Section 55(A)(a) substituting the earlier provision that the fair market value so claimed “is less than its fair market value” by “is at variance with its fair market value” has come by the Finance Act, 2012 with effect from 01.07.2012 whereas we are in assessment year 2009-10 only. Case law [2014] 367 ITR 238 (Guj) CIT Vs Gauranginiben S.Shodhan & [2006] 103 TTJ 216 (Pune) Smt. Krishnabai Tingre Vs. ITO holds that the Assessing Officer ought not to ignore a 3 ITA No.2829/PUN/2017 Shri Machindra L. Bodke registered valuer report in identical circumstances by applying the amended statutory provision with retrospective effect. We adopt the very reasoning mutatis mutandis to delete the impugned addition. Ordered accordingly. 6. This assessee’s appeal is partly allowed in above terms Order pronounced in the Open Court on this 22 nd day of April, 2022. Sd/- Sd/- (DR.DIPAK P.RIPOTE) (S.S. GODARA) लेखध सदस्य/ ACCOUNTANT MEMBER न्यधनयक सदस्य/JUDICIAL MEMBER पपणे / Pune; ददनधांक / Dated : 22 nd April, 2022. Ashwini आदेश की प्रनतनलनप अग्रेनषत / Copy of the Order forwarded to : 1. अपऩलधथी / The Appellant. 2. प्रत्यथी / The Respondent. 3. The CIT(A)-6, Pune. 4. The Pr.CIT-5,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.2829/PUN/2017 Shri Machindra L. Bodke S.No. Details Date Initials Designation 1 Draft dictated on 19.04.2022 Sr. PS/PS 2 Draft placed before author 20.04.2022 Sr. PS/PS 3 Draft proposed & placed before the Second Member JM/AM 4 Draft discussed/approved by Second Member AM/AM 5 Approved Draft comes to the Sr. PS/PS Sr. PS/PS 6 Kept for pronouncement on Sr. PS/PS 7 Date of uploading of Order Sr. PS/PS 8 File sent to Bench Clerk Sr. PS/PS 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