Smt. Kamla Devi Jagetiya, CHITTORGARH v. ITO, CHITTORGARH

1 IN THE INCOME TAX APPELLATE TRIBUNAL JODHPUR BENCH JODHPUR BEFORE SHRI S.V. MEHROTRA ACCOUNTANT MEMBER AND SHRI V.D. RAO JUDICIAL MEMBER ITA NO: 431 / JU / 2010 ASSTT. YEAR: 2004 -2005 SMT. KAMLA DEVI JAGETIYA V/S INCOME-TAX OFFICER 61-B GAYATRI SADAN WARD-II CHITTORGRH. CHITTORGARH. (APPELLANT) (RESPONDENT) APPELLANT BY : NONE RESPONDENT BY : SHRI AVDESH KU MAR D.R. ORDER PER V.D. RAO: JM THIS APPEAL HAS BEEN FILED BY THE ASSESSEE AGAINST THE ORDER OF THE LD.CIT (APPEALS) UDAIPUR DATED 12-05-2010 FOR THE ASSESSMENT YEAR 2004-2005. 2. THE FACTS ARE IN BRIEF THAT THE ASSESSEE IS AN I NDIVIDUAL AND FILED HER RETURN OF INCOME WHEREIN SHE DECLARED CAP ITAL GAIN AMOUNTING TO RS. 1 47 220/- AND SHE HAS CLAIMED THE SAME AMOUNT 2 AS EXEMPTION U/S 54F OF THE ACT. SUBSEQUENTLY A NO TICE U/S 148 WAS ISSUED AND SERVED ON THE ASSESSEE. 3. DURING THE COURSE OF THE ASSESSMENT PROCEEDINGS IT WAS NOTICED BY THE ASSESSING OFFICER THAT AS PER THE SA LE DEED ENCLOSED ALONG WITH THE RETURN THE ASSESSEE HAS CLAIMED THA T SHE HAS SOLD A PLOT FOR RS.1 75 000/- AND THE CAPITAL GAIN ON THIS AMOUNT HAS BEEN CLAIMED EXEMPTION U/S 54F OF THE ACT. HOWEVER THE ASSESSING OFFICER AS PER THE SALE DEED OF THE RELEVANT PLOT HE FOUND THAT THE VALUATION OF THE PLOT HAS BEEN ADOPTED AT RS.4 56 0 00/- BY THE DY. REGISTRAR CHITTORGARH. IN VIEW OF THE ABOVE THE A SSESSING OFFICER HAS ASKED THE ASSESSEE TO EXPLAIN WHY SECTION 50C N OT TO BE APPLIED FOR THE PURPOSE OF THE CALCULATION OF THE C APITAL GAIN. IN RESPONSE TO THE SHOW CAUSE NOTICE ISSUED BY THE AS SESSING OFFICER THE ASSESSEE HAS EXPLAINED THAT THE PROPERTY SOLD A T 24 PANCHAWATI SENTHI FOR RS.1 75 000/- AND NO AMOUNT OF CONSIDERA TION HAS BEEN RECEIVED IN EXCESS OF RS.1 75 000/-. THE VALUE OF PROPERTY CONSIDERED BY SUB REGISTRAR FOR THE PURPOSE OF REGI STRATION FEE AT RS. 4 56 000/- IS VERY EXCESSIVE AND UNJUSTIFIED. THE ASSESSEE AS 3 PER SEC.50C(2) OF THE ACT HAS OBJECTED THE VALUE AD OPTED BY THE REGISTRATION AUTHORITY BEFORE THE DISTRICT COLLECTO R (REGISTRATION) BHILWARA AND THE SAME WAS PENDING AND SUBMITTED THA T THE ACTUAL SALE CONSIDERATION OF THE PROPERTY RS.1 75 000/- MA Y BE ACCEPTED AS A CORRECT. 4. THE ASSESSING OFFICER AFTER RECEIVING THE REPLY FROM THE ASSESSEE HE HAS REFERRED THE MATTER TO THE VALUATI ON OFFICER FOR DETERMINATION OF THE VALUE OF THE PROPERTY. THE VA LUATION OFFICER VALUED THE PROPERTY AT RS.4 56 000/- ACCORDINGLY T HE ASSESSING OFFICER CONFIRMED THE VALUATION OF THE PROPERTY AT RS.4 56 000/- AND THE ADDITION WAS MADE. ON APPEAL THE LD. CIT ( A) CONFIRMED THE ORDER OF THE ASSESSING OFFICER. 5. AT THE TIME OF THE HEARING THE LD. COUNSEL FOR THE ASSESSEE HAS SUBMITTED THAT WHEN THE ASSESSEE OBJECTED THE V ALUATION MADE BY THE SUB REGISTRAR AND ALSO OBJECTION WAS FILED B EFORE THE DISTRICT COLLECTOR (REGISTRATION). THE ASSESSING O FFICER UNDER OBLIGATION TO ADOPT THE SALE CONSIDERATION RECEIVED BY THE ASSESSEE OF RS. 1 75 00/- OR WAITED FOR THE ORDER OF THE DI STRICT COLLECTOR 4 (REGISTRATION). THE ASSESSING OFFICER WRONGLY REFE RRED THE MATTER TO THE VALUATION OFFICER FOR DETERMINATION OF THE V ALUE CONTRARY TO SEC. 50C(2) OF THE ACT. HOWEVER BOTH THE PARTIES HAVE AGREED THAT THE ISSUE MAY BE REMITTED BACK TO THE ASSESSING OFF ICER TO DECIDE THE ISSUE AFRESH BY CONSIDERING THE ORDER OF THE DI STRICT COLLECTOR (REGISTRATION). 6. IN VIEW OF THE ABOVE WE SET ASIDE THE ORDER PAS SED BY THE LD. CIT (A) AND WE REMIT THE ISSUE TO THE FILE OF THE A SSESSING OFFICER TO DECIDE AFRESH AFTER CONSIDERING THE ORDER OF THE DISTRICT COLLECTOR (REGISTRATION) AND AFTER BEING GIVEN REASONABLE OPP ORTUNITY TO THE ASSESSEE. 7. IN THE RESULT APPEAL FILED BY THE ASSESSEE IS A LLOWED FOR STATISTICAL PURPOSE. 8. O RDER WAS PASSED IN THE OPEN COURT DATED ON 9TH FEBRUARY 2011. SD/- SD/- (S.V. MEHROTRA) (V.D. RAO) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 9 TH FEBRUARY 2011 KAMAL KUMAR COPY FORWARDED TO: THE APPELLANT/RESPONDENT/ITO/CIT (A)/D.R /GUARD FILE.