ITO, WARD-3(3), Nagpur V. SHRI SAYYAD SAJJADALI MUZEFFERALI, Nagpur

ITA 388/NAG/2013

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 2157 (ITAT-NAGPUR)
• Duration Of Justice: 2 year(s) 8 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-07-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Next Hearing Date: 06-04-2016
• Assessment Year: 2008-2009
• Appeal Filed On: 29-10-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A R NINAWE
• Keywords: Sale consideration of property below Jantri Value; Tax effect
• Section: 50C

Judgement Text

1 ITA NO. 388/NAG/2013 IN THE INCOME TAX APPELLATE TRIBUNAL, NAGPUR BENCH, NAGPUR BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER. (S.M.C.) I.T.A. NO. 388 /NAG/201 3 . ASSESSMENT YEAR : 200 8 - 09 . THE INCOME - TAX OFFICER, SHRI SAYYAD SAJJADALI MUZEFFERALI, WARD - 3(3), NAGPUR. VS. NAGPUR. PAN ABAPM6485A. APPELLANT. RESPONDENT. APPELL ANT BY : SHRI A.R. NINAWE. RESPONDENT BY : SHRI K.P. DEWANI. DATE OF HEARING : 05 - 07 - 2016 DATE OF PRONOUNCEMENT : 5 TH JULY, 2016 O R D E R THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF LEARNED CIT(APPEALS) - II, NAGPUR DATED 05 - 08 - 2013 AND PERTAINS TO ASSESSMENT YEAR 2008 - 09. THE GROUNDS RAISED IN THIS APPEAL READ AS UNDER : 1. WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE CIT(A) ERRED IN HOLDING THAT THE ASSESSEE WAS NOT THE REAL OWNER OF THE ASSET SOLD. 2. WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE CIT(A) ERRED IN NOT TAKING COGNIZANCE OF THE FACT THAT THE ASSESSEE EXECUTED A POWER OF ATTORNEY IN RESPECT OF THE PROPERTY OWNED BY SMT. & SHRI BURDE AND PAID THE SALE CONSIDERATION AS AGR EED BEFORE REGISTRATION OF THE POA ON 09 - 01 - 2005. 3. WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE CIT(A) ERRED IN CONSIDERING THE FACT THAT THE PROPERTY FETCHED RS.18,00,000/ - TO THE ORIGINAL OWNERS IN THE YEAR 2005 BUT THE SAME WAS SOLD BY THE ASSESSEE IN 2008 FOR RS.11,00,000/ - THROUGH THE MARKET VALUE WAS MORE THAN RS.32,00,000/ - , THEREBY ATTRACTING PROVISIONS OF SECTION 50C OF I.T. ACT, 1961. 2 ITA NO. 388/NAG/2013 2. AT THE THRESHOLD I NOTE THAT AS PER THE CBDT CIRCULAR NO. 21/2015 DATED 10 - 12 - 2015 THE MO NETARY LIMIT FIXED FOR FILING APPEALS BY THE DEPARTMENT BEFORE THE INCOME - TAX APPELLATE TRIBUNAL IS HAVING TAX EFFECT OF MORE THAN RS.10,00,000/ - . IT HAS BEEN MENTIONED IN PARA 10 OF THE ABOVE SAID CIRCULAR THAT THIS INSTRUCTION WILL APPLY RETROSPECTIVELY TO PENDING APPEALS. FURTHER IT HAS BEEN PROVIDED THAT THE PENDING APPEALS BELOW THE SPECIFIED LIMIT MAY BE WITHDRAWN/NOT PRESSED. I FIND THAT IN THIS APPEAL THE TAX EFFECT IS BELOW RS.10,00,000/ - . 3. THERE ARE CERTAIN EXCEPTIONS PROVIDED IN THE ABOVE SAID CIRCULAR. LEARNED D.R. DID NOT DISPUTE THAT THIS APPEAL IS BELOW THE ABOVE SAID LIMIT. FURTHER HE COULD NOT POINT OUT ANY FEATURE IN THE PRESENT APPEAL INVITING ANY OF THE EXCEPTIONS IN THE SAID CIRCULAR. 4. IN THE LIGHT OF THE ABOVE OBSERVATIONS, THIS AP PEAL BY THE REVENUE STANDS DISMISSED IN LIMINE ON ACCOUNT OF TAX EFFECT. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 5 TH DAY OF JULY,2016. ( SHAMIM YAHYA) ACCOUNTANT MEMBER. NAGPUR, DATED: 5 TH JULY, 2016. 3 ITA NO. 388/NAG/2013 COPY FORWARDED TO : 1. SHRI SAYYAD SAJJADALI MUZEFFERALI, MIRCHI BAZAR, ITWARI , NAGPUR. 2. I.T.O., WARD - 3(3), NAGPUR. 3. C.I.T. - I I, NAGPUR. 4. CIT(APPEALS), - II, NAGPUR. 5. D.R., ITAT, NAGPUR. 6. GUARD FILE TRUE COPY BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, NAGPUR BENCH, NAGPUR. WAKODE.