| |
| The Tax Publishers2020 TaxPub(DT) 3139 (Ranchi-Trib) INCOME TAX ACT, 1961
Section 48
Since neither of the two parties have been able to justify their valuations i.e., exact location and on sale consideration basis respectively and a lump sum cost of acquisition on estimation basis of Rs. 3,00,000 with effective from 1-4-1981 by adopting rule of thumb would meet the ends of justice, therefore, assessee's appeal was partly allowed.
|
Capital gains - Computation - Cost of acquisition of assessee's capital asset acquired - Difference in opinion
The sole dispute was qua the cost of acquisition of assessee's capital asset acquired way back in year 1957 and sold on 2012. Assessee sought to place reliance on a registered valuer's report stating cost of acquisition as on 1-4-1981 at Rs. 60,54,687 after adopting reverse indexation method. The said valuer appeared to have been called by AO who failed to support his valuation by cogent evidence. This made lower authorities to go by revenue records in very locality thereby taking cost of acquisition at Rs. 1,86,000. Held: Neither of the two parties have been able to justify their valuations i.e., exact location and on sale consideration basis respectively. Neither party's stand deserved to be accepted in entirety. Thus a lump sum cost of acquisition on estimation basis of Rs. 3,00,000 with effective from 1-4-1981 by adopting rule of thumb would meet the ends of justice. Necessary computation including that of interest shall follow as per law. Thus, assessee's appeal was partly allowed.
Followed:Ajay Prakash Verma v. Income Tax Officer [T.A. No. 38 of 2010, dt. 25-7-2012]
REFERRED :
FAVOUR : Partly In assessee's favour
A.Y. : 2013-14
IN THE ITAT, RANCHI BENCH
 SUBSCRIBE FOR FULL CONTENT
OR Try Reload the Page |