SAURABH SHARVAN GUPTA,NEW DELHI vs. ASSISTANT COMMISSIONER OF INCOME TAX 52(1), NEW DELHI

Case called twice. None appears at the assessee’s behest. He is accordingly proceeded ex-parte.

Learned departmental representative Mr. Akhilesh Kumar Yadav vehemently argues that both the lower authorities herein have rightly made section 56(2)(vii)(b) addition amounting to Rs.18,82,834/- in the assessee’s hands which represents the difference between the actual purchase price of Rs.64,01,500/- as against circle rate thereof of Rs.1,20,50,000; to the extent Saurabh Sharvan Gupta 2 of 1/3rd share, respectively. His case therefore is that the tribunal ought to affirm the impugned addition in the assessee’s case.

I have given my thoughtful consideration to the assessee’s pleadings all along and the Revenue’s foregoing vehement submissions. I find no reason to sustain the impugned addition. It is made clear first of all that the impugned assessment year herein is A.Y. 2012-13 whereas the corresponding legislative amendment seeking to tax the above differential amount u/s 56(2)(vii)(b)(ii) came to be inserted (substituted) by the Finance Act, 2013 w.e.f. 01.04.2014. I thus find no reason to concur with the learned lower authorities’ action making the impugned addition. Deleted accordingly.

This assessee’s appeal is allowed. Order Pronounced in the Open Court on 04/06/2025. (Satbeer Singh Godara)