|The Tax Publishers2019 TaxPub(DT) 7268 (Hyd-Trib) : (2019) 075 ITR (Trib) 0219
INCOME TAX ACT, 1961
Section 143(3) Section 153 Section 142A
Since report of Valuation Officer (DVO) has to be filed within time given under section 142A(vi), therefore, assessment order passed on the basis of such report of DVO beyond time limit was not sustainable.
Assessment - Validity - Valuation officer submitted report with delay -
Issue arose as to whether period allowed to DVO to submit report under section 142A, the valuation report has to be submitted within six months from the date of the receipt of the reference. In instant case valuation officer had submitted report beyond a period of 15 months. Assessee contended that the aforesaid period cannot be enlarged and therefore assessment framed under section 153 read with section 142A was time-barred. Held: As seen from assessment order, AO had directed valuation officer to give valuation of property on stipulated date , whereas valuation officer had given report as on the date of execution of sale deed. DVO had clearly not followed directions of AO and also not followed timeline fixed under Income Tax Act, 1961. When it is mandatory for an officer to follow the timeline prescribed under the Act, such delay cannot be condoned. Therefore, contentions of assessee were justified that report of the Valuation Officer has to be filed within time given under section 142A(vi). Therefore, assessment order passed on the basis of such report of Valuation Officer beyond time limit was not sustainable.
REFERRED : BK. Khanna & Co. v. UOI & Ors. & Other Writ Petitions (1985) 156 ITR 796 (Del.) : 1985 TaxPub(DT) 0732 (Del-HC) and Chalasani Naga Ratna Kumari v. ITO (2017) 371 ITR 22 (Visakhapatnam) : 2017 TaxPub(DT) 0075 (Visakhapatnam-Trib)
FAVOUR : In assessee's favour
IN THE ITAT, HYDERABAD BENCH
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