SHRI JAYESHBHAI G. BALAR,,SURAT vs. THE INCOME TAX OFFICER, WARD-8(2),, SURAT

Assessee by Shri Rasesh Shah, CA Revenue by Ms. Anupama Singla,Sr-DR Date of hearing 09.03.2022 Date of pronouncement 09.03.2022 Order under section 254(1) of Income Tax Act PER PAWAN SINGH, JUDICIAL MEMBER: 1. This appeal by assessee is directed against the order of ld. Commissioner of Income tax (Appeals)-3 Surat [for short to as ‘CIT(A)’] dated 03.02.2015 for assessment year (AY) 2007-08, which in turn arise out of assessment order passed by Assessing Officer under section 143(3) r.w.s 147 of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) vide order dated 29.01.2013. The assessee has raised the following grounds of appeal:- “(1)The ld. Commissioner of Income Tax (Appeals) erred in law and on facts in confirming the addition made by the ld. A.O u/s 50C of the Act to the tune of Rs.23,57,381/-. (2)The Appellant prays for granting such other relief as maybe deemed just and proper by your Honours considering the factual and legal aspects of the case of the appellant.”

(A.Y. 07-08) Sh.Jayeshbhai G Balar 2. At the outset of hearing, Ld. Authorized Representative (AR) for the assessee submits that the grounds of appeal raised by assessee is covered by the decision of Tribunal in assessee’s co-owner’s case in the case of Shri Vinubhai V Navadia vs. DCIT, Central Circle-1,Suratin for AY 2007-08 dated 26.04.2017, copy of which is placed on record. The Ld. AR of the assessee submits that during the assessment, the Assessing Officer made addition of Short Term Capital Gains (STCG for short) by invoking of provision of section 50C of the Act. The assessee sold a piece of land alongwith his co-owner, namely, Vinubhai V Navadia and Shri Mavjibhai P. Kakadia. All there were having equal share i.e. 1/3 each. In one of the co-owner’s case, the report of Assistant valuation officer of Income tax Department was filed. The Assistant valuation officer valued the one-third share of property at Rs.34,90,000/-. On the basis of such valuation, the Assessing Officer made addition of STCG in case of Vinubhai V Navadia. In case of Vinubhai V Navadia, the Tribunal granted relief to the extent @ 50% of deemed sale consideration and allow partial relief. The case of assessee is exactly same, therefore the order of Tribunal in co-owner’s case of assessee may be followed.

3. On the other hand, Ld. Senior Departmental Representative (Sr.DR) for the Revenue supported the order of Ld. CIT(A).