PRITPAL SINGH CHANDHOK, RAIPUR (CG) V. ASSTT.COMMISSIONER OF INCOME TAX -1(2), RAIPUR (CG)

ITA 95/BIL/2010

• Counselvise Citation: 9524714 RSA 2010
• Duration Of Justice: 1 year(s) 9 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-02-2012
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2006-2007
• Appeal Filed On: 26-04-2010
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: DARSHAN SINGH
• Assessee Lawyers: N C BERGANI NIKHILESH BEGANI
• Keywords: Sale consideration of property below Jantri Value; Capital asset

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, BILASPUR BE NCH BILASPUR BEFORE SHRI SHAILENDRA KUMAR YADAV (J.M) & SHRI R.K.PANDA(A.M) ITA NO. 95/BLPR/2010(A.Y.2006-07) PRATAP SINGH CHANDHOK, PRITPAL FARM HOUSE, VIP ROAD, RAIPUR (CG) PAN:ACFPC 0302G (APPELLANT) VS. ASSTT. COMMISSIONER OF INCOME TAX 1(2), CENTRAL REVENUE BUILDING, CIVIL LINES, RAIPUR (CG) (RESPONDENT) APPELLANT BY : S/SHRI N.C.BERGANI / NIKHILESH BEGANI RESPONDENT BY : SHRI DARSHAN SINGH DATE OF HEARING : 06/02 /2012 DATE OF PRONOUNCEMENT : 10/ 02/2012 ORDER PER SHAILENDRA KUAMAR YADAV, J.M, THIS APPEAL HAS BEEN FILED BY THE ASSESSEE AGAINST THE ORDER OF CIT(A), RAIPUR (CG) DATED 24/2/2010 FOR THE ASSESSM ENT YEAR 2006-07. 2. AT THE OUT SET OF HEARING LD. A.R DID NOT PRESS GROUND NO.1, THEREFORE, THE SAME IS DISMISSED AS NOT PRESSED. 3. THE NEXT ISSUE REMAINS IS WITH REGARD TO ADDITIO N OF RS. 21,87,000/- MADE ON ACCOUNT OF CAPITAL GAIN. THE AO MADE THE ITA NO. 95/BLPR/2010(A.Y.2006-07 ) ) 2 ADDITION OF RS. 21,87,000/- UNDER THE HEAD SHORT T ERM CAPITAL GAIN, WHICH WAS CONFIRMED BY THE CIT(A). 3.1 THE ISSUE INVOLVED IN THIS APPEAL IS WITH RE GARD TO INVOKING THE PROVISIONS OF SECTION 50C(1) OF THE ACT. ACCORD ING TO PROVISIONS OF SECTION 50C(1) OF THE ACT THE CONSIDERATION REC EIVED OR ACCRUING AS A RESULT OF TRANSFER BY AN ASSESSEE OF CAPITAL ASSETS, BEING LAND OR BUILDING OR BOTH, IS LESS THAN THE VALUE ADOPTED BY STAMP DUTY VALUING AUTHORITIES OF A STATE GOVERNMENT FOR THE P URPOSE OF PAYMENT OF STAMP DUTY, THE VALUE SO ADOPTED OR ASS ESSED SHALL BE DEEMED TO BE THE FULL VALUE OF CONSIDERATION RECE IVED OR ACCRUING. THIS IS AN ANTI TAX EVASION MEASURES PROVIDED IN TH E ACT TO TAX THE INCOME GENERATED BY UNDER STATEMENT OF SALE CONSIDE RATION. UNDER STAMP DUTY ACT OF THE RELEVANT STATE, THE ASSESSE H AD NO HESITATION IN ACCEPTING THE VALUE DETERMINED BY STAMP DUTY A UTHORITIES BUT HAS OBJECTION UNDER THIS ACT THAT THE RATES ADOPTED ARE EXCESSIVE HAVING REGARD TO MARKET PRICE. ON REFERENCE TO VAL UER AS PROVIDED IN SECTION 50C(2), THE VALUER HAS STATED THAT VALUA TION OF AGRICULTURAL LAND IS BEYOND THEIR PURVIEW. IN VIEW OF THIS FACT, THE AO PROCEEDED TO DECIDE THE CASE ON MERIT KEEPING IN VIEW TO ACHIEVE THE OBJECT OF SECTION 50C(1). THE ASSESS EE HAS NOT BROUGHT ANY MATERIAL ON RECORD TO SUPPORT HIS CONTENTION TH AT THE VALUE ADOPTED BY THE STAMP DUTY AUTHORITIES ARE EXCESSIVE . THE ASSESSEE HAS NOT DISCHARGED THE BURDEN CAST UPON HIM THAT TH E SALE CONSIDERATION ACCEPTED BY HIM IS LESSER THAN THE PR EVAILING MARKET ITA NO. 95/BLPR/2010(A.Y.2006-07 ) ) 3 RATE. SINCE THE ASSESSEE WAS NOT BEEN ABLE TO GIV E SATISFACTORY EXPLANATION THE VALUE ADOPTED BY THE AO WITHIN TH E PROVISIONS OF SECTION 50C(1) WAS FOUND JUSTIFIED. IN THIS VIEW O F THE MATTER WE UPHOLD FINDING OF THE CIT(A) ON THIS ISSUE. ACCOR DINGLY THE GROUND RAISED BY THE ASSESSEE IS DISMISSED. 4. GROUND NO.3 RAISED BY THE ASSESSEE HAS NOT BEEN ADDRESSED, THEREFORE, THE SAME IS DISMISSED AS NOT PRESSED. 5. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THE 10 TH DAY OF FEB. 2012. SD/- SD/- (R.K.PANDA) (SHAI LENDRA KUMAR YADAV)) ACCOUNTANT MEMBER JUDICIA L MEMBER BILASPUR,DATED. 10 TH FEB. 2012 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT CITY CONCERNED 4. THE CIT(A)- CONCERNED 5. THE D.R BILASPUR BENCH. (TRUE COPY) BY ORDER SR. PRIVATE SECRETARY, ITAT, BILASPUR BENC H BILASPUR VM. ITA NO. 95/BLPR/2010(A.Y.2006-07 ) ) 4 DETAILS DATE INITIALS DESIGNATION 1 DRAFT DICTATED ON 1/2/2012 SR.PS/PS 2 DRAFT PLACED BEFORE AUTHOR 2/2/2012 SR.PS/PS 3 DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4 DRAFT DISCUSSED/APPROVED BY SECOND MEMBER JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS/PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS/PS 7. FILE SENT TO THE BENCH CLERK SR.PS/PS 8 DATE ON WHICH THE FILE GOES TO THE HEAD CLERK 9 DATE OF DISPATCH OF ORDER