Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2014 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (11) TMI 343 - ITAT HYDERABADMatter remanded by CIT to AO for ascertainment of the nature of land - Leviability of capital gain – Agricultural land situated within 8 km from a Municipality or Panchayat or not – Held that:- The assessee is not exigible to capital gains as the land was situated in an area in the village Kakunur where the population is only 1537 and not within 8 km from a Municipality or Panchayat - The assessee has also offered as income from other sources a sum of ₹ 8,45,000 which only shows that the AO has thoroughly verified the transaction of the assessee with respect to the sale of agricultural land and has taken a conscious view after application of his mind – hence, the order of the AO is neither erroneous nor prejudicial to the interests of the revenue by invoking the provisions of section 263 of the Act - Section 263 does not visualize a case of substitution of the judgment of the Commissioner for that of the Income-tax Officer who passed the order, unless the decision is held to be erroneous - An order to be termed as prejudicial to the interests of the revenue, there must be some prima facie material on record to show that tax which was lawfully eligible has not been imposed – relying upon Commissioner Of Income-Tax Versus Gabriel India Limited [1993 (4) TMI 55 - BOMBAY High Court] - the AO applied his mind to the facts of the case and after necessary enquiry, he had passed the assessment order – revenue has not brought any material on record contrary to the facts brought out by the AO - decided in favour of assessee.
|