SARAS METALS PVT. LTD.,GHAZIABAD vs. ITO, NEW DELHI

The present appeal has been filed by the assessee against the order of the ld. CIT(A)-X, New Delhi dated 01.03.2013.

Brief facts of the case are that the assessee filed the appeal vide 06.05.2015. The said order has been recalled vide order dated 24.06.2016 for the reason that “when the plot of land is held to be investment then the benefit of indexation in case it is long term capital asset is required to be allowed, has remained to be adjudicated”.

During the hearing before us, it was submitted that the order has been recalled for the limited issue of adjudication of ground no. (5) only which is as under: “5. Because, without prejudice to above and only in alternative, even if the Plot is held as 'investment’ for argument sake than also both the learned lower authorities have wrongly computed/upheld short term capital gain on sale of such plot despite repeatedly stating in the orders that the plot is held for more than 3 years and so only long term capital gain could be computed by indexing the cost etc in terms of sections 48 of the Act and hence , computation is wrong being against the specific provisions of law.”

From the record, we find that this alternate ground has not been adjudicated by the ld. CIT (A). The representatives of both the parties have fairly conceded that the case needs to be remanded to the file of the ld. CIT (A) to adjudicate the above said ground. Hence, keeping in view, the interest of the justice, we hereby remand the matter to the file of the Assessing Officer to adjudicate and pass a speaking order on the issue of taxation of capital gain correctly.

In the result, the appeal of the assessee is allowed for statistical purpose. Order Pronounced in the Open Court on 14/10/2019