NILAKAR PAN,SONARI vs. ASSESSING OFFICER, JAMSHEDPUR

ITA 340/RAN/2025Status: DisposedITAT Ranchi20 April 2026AY 2018-193 pages
AI SummaryAllowed

What did the Tribunal hold?

The Tribunal held that the difference between the purchase consideration and the DVO's valuation was less than 10% and permissible under Section 56(2) of the Act. Therefore, the addition made by the Assessing Officer and confirmed by the CIT(A) was deleted.

What were the facts?

The assessee purchased an immovable property for Rs. 27.00 lacs, while the circle rate was Rs. 38.15 lacs. The DVO valued the property at Rs. 29,01,019/-, resulting in a difference of Rs. 2,01,019/- from the purchase consideration.

What were the issues?

Whether the addition made on account of difference between purchase consideration and DVO's valuation is justified when the difference is less than 10% as per Section 56(2).

Which sections of the Income-tax Act were involved?

Section 56(2)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, RANCHI BENCH, RANCHI

Before: SHRI GEORGE MATHAN & SHRI RATNESH NANDAN SAHAY

For Appellant: Shri Amit Kumar Agarwal, AR
For Respondent: Shri Kailash V. Gautam, Sr.DR
Hearing: 20/04/2026Pronounced: 20/04/2026

PER: BENCH

1.

This is the appeal filed by the assessee against the order of the ld. CIT(A), NFAC, Delhi in Appeal No. NFAC/2017-18/10205559 dated 13/03/2025 for the A.Y. 2018-19. 2. Shri Amit Kumar Agarwal, ld. A.R. is represented on behalf of the assessee and Shri Kailash V. Gautam, ld. Sr.DR is represented on behalf of the revenue.

3.

It was submitted by the ld. AR that the assessee had purchased an immovable property for Rs. 27.00 lacs. The circle rate of the property was Rs. 38.15 lacs. The Assessing Officer had issued notice for reopening. In the course of assessment proceedings, the assessee had requested for valuati

The order continues below.

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