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Income Tax Appellate Tribunal, INDORE BENCH, INDORE
Before: SHRI KUL BHARAT & SHRI MANISH BORAD
आदेश / O R D E R
PER KUL BHARAT, J.M: This appeal by the assessee is directed against order of
the CIT(A)-II, Indore dated 3.10.2016 pertaining to the
[ITA 171/Ind/2017] [Smt. Surendra Kaur Hora, Indore] assessment year 2006-07. The assessee has raised
following grounds of appeal:
On the facts and in the circumstances of the case learned CIT(A) erred in holding correctly valued to the property by AVO even who ignore the objection raised by the assessee. 2. On the facts and in the circumstances of the case learned CIT(A) erred in not holding the s.50C of the I.T. Act is not applicable to the transaction dated 15.1.2001. 3. On the facts and in the circumstances of the case learned CIT(A) erred in holding the wrong value taken of AVO even pointed out to the AVO & Assessing Officer. 4. Alternatively, on the facts and in the circumstances of the case, the CIT(A) erred in not holding that the AVO has adopted the value of the property on the basis of some registry taken by him after ignoring to the adjacent sale deed of the plot submitted by the assessee. 5. The Appellant craves leave to add, to amend to alter and/or to delete all or any of the above grounds of appeal. 2. Briefly stated facts are that case of the assessee was
reopened and the assessment u/s 143(3) r.w.s. 147 of the
Income Tax Act, 1961 (hereinafter called as ‘the Act’) was
framed vide order dated 23.1.2015. The A.O. noticed that
the assessee had sold plot in two parts. As per the stamp
valuation authority, the valuation was adopted at
Rs.9,98,000/- and Rs.7,17,500/- respectively. The
assessee raised an objection adopting the value of land as
[ITA 171/Ind/2017] [Smt. Surendra Kaur Hora, Indore] per the stamp valuation authority during the course of
assessment. Therefore, the assessee referred the matter of
valuation to the Departmental Valuation Officer. The
Departmental Valuation Officer valued the property at
Rs.6,56,185/- and Rs.4,73,072/- respectively. Thereby,
the A.O. adopting the valuation as given by the
Departmental Valuation Officer made addition of
Rs.9,41,203/-. Against this, the assessee preferred an
appeal before Ld. CIT(A), who after considering
submissions, dismissed the appeal. Now the assessee is in
appeal before this Tribunal.
The present appeal is barred by 67 days. Assessee has
filed an application seeking condonation of delay. An
affidavit in support of the application has been filed. It is
stated in the affidavit that the assessee is suffering from
stage 3 cancer and has been undergoing treatment,
[ITA 171/Ind/2017] [Smt. Surendra Kaur Hora, Indore] therefore, could not file appeal. It is contended that the
delay in filing is not intentional but due to serious illness.
Ld. D.R. opposed the averment made in the
application.
We have heard the rival submissions, perused the
materials available on record and gone through the orders
of the authorities below. The assessee has filed a medical
report stating that the assessee is suffering from cancer
and has been undergoing treatment at CHL Hospital,
Indore. In our view, the reason stated is a sufficient cause,
therefore, we condone delay and take up the appeal for
adjudication.
The only effective ground in this appeal is against
addition made by the assessing officer, by accepting the
value as recommended by the DVO.
[ITA 171/Ind/2017] [Smt. Surendra Kaur Hora, Indore] 7. Ld. Counsel for the assessee reiterated the
submissions as made in the written submissions. The
written submissions of the assessee are as under:
[ITA 171/Ind/2017] [Smt. Surendra Kaur Hora, Indore]
[ITA 171/Ind/2017] [Smt. Surendra Kaur Hora, Indore]
Ld. D.R. opposed these submissions and supported
the orders of the authorities below. The contention of the
assessee is too fold. Firstly that the provision of section
50C of the Act are not applicable as in the present case,
agreement was executed on 15.1.2001, while section 50C
of the Act was introduced by Finance Act, 2002 applicable
from 1.4.2003. Secondly, the valuation adopted by the
DVO is not correct as the DVO has adopted different value
for the same piece of land. As per the DVO, for one piece of
land, it is adopted @ Rs.591/- per. Sq.ft. and in the case of
other buyer, it is Rs.451/- per sq.ft.
[ITA 171/Ind/2017] [Smt. Surendra Kaur Hora, Indore] 9. We have considered the rival submissions and
material placed on record. We find some merit in the
contention that two different values have been taken by the
DVO considering the contemporary cases, the value so
adopted is excessive. Moreover, the DVO has not given
reason to adopt values of the adjacent piece of land. We
therefore, direct the A.O. to adopt the value @ Rs.451/- per
sq.ft. as adopted by the DVO for one part of the land and
compute the addition accordingly. This ground of the
assessee’s appeal is partly allowed.
Regarding another objection of the assessee against
applicability of provision of section 50C of the Act, same is
devoid of any merit. Admittedly, sale deed was executed
when the provision came into force. We therefore reject
this contention.
[ITA 171/Ind/2017] [Smt. Surendra Kaur Hora, Indore] 11. In the result, the appeal of the assessee is partly
allowed.
Order was pronounced in the open court on 08.04.2019.
Sd/- Sd/- (MANISH BORAD) (KUL BHARAT) ACCOUNTANT MEMBER JUDICIALMEMBER Indore; �दनांक Dated : 08/04/2019 VG/SPS Copy to: Assessee/AO/Pr. CIT/ CIT (A)/ITAT (DR)/Guard file. By order
Assistant Registrar, Indore